Potential Reenactment of July 24? Movement of 3,000 ETH from Ethereum ICO Wallet
Imagine the repercussions of a large player deciding to unload a portion of the ETH they acquired during the early days of the Ethereum ICO. This precise scenario unfolded recently, as reported by Lookonchain. The implications of such actions could be profound.
New discoveries point to a significant development where a major player linked to the Ethereum ICO has just disposed of 3,000 ETH. Analysis by Lookonchain uncovered that this same entity had previously divested 7,000 ETH at the beginning of July this year. Why is this noteworthy? Well, it might signal a connection to the price fluctuation of the altcoin.
A notable 15% decline in ETH’s price followed the July transaction, hinting that news of such a substantial sale could trigger a sell-off. This raises the possibility of an uptick in selling pressure in the markets in the upcoming days.
At the time of this report, ETH was already facing considerable selling pressure, dropping to $2,526, after retracting by approximately 8% from its peak for the week. Furthermore, it retested a short-term support line over the past 24 hours, experiencing a minor rebound.
In summary, Lookonchain’s evaluation of the Ethereum ICO participant’s actions suggests that we may witness increased selling pressure in the near future. This contrasts with the earlier expectation of a potential rebound based on the tested support line.
Anticipating Heightened ETH Volatility – But in Which Direction?
Data on ETH’s exchange flow indicates that both inflows and outflows have decreased to levels suggesting an imminent shift in the market’s direction.
This signals a potential rise in volatility; however, the outcome remains uncertain.
Within the last 24 hours, exchange inflow data stood at 144,830 ETH, while outflow data was at 140,614 ETH, indicating a higher selling pressure compared to buying interest. Nonetheless, the price seems to have stabilized at the support threshold, possibly influenced by whale activities.
Insights from IntoTheBlock highlight an increase in ETH movement into large holder addresses, totaling 360,320 ETH, while outflows from these addresses dropped to 248,590 coins.
Lastly, ownership data suggests that large players have been accumulating assets at recent low points.
Despite this, the lack of a substantial price surge in the past day portrays a level of uncertainty that could translate into weak demand.