Ethereum price drops after whale moves $20M to Kraken

Ethereum ($ETH) has breached the support level of $3,500 by trading at $3,438.76 at the press time. Bitcoin ($BTC) is leading the declining trend but ETH, specifically, has its downfall credited to an ICO whale who just moved tokens worth $20 million to Kraken. The whale was seen depositing 5.5k ETH tokens worth $19.3 million to the platform. This is a part of the $10k tokens that the whale moved in the last 2 days. Their value comes to $35.4 million.

The ICO participant still holds 139k Ethereum tokens which were last valued at $476 million across three wallets. The whale has accumulated 150k tokens in ETH at the ICO price of $0.31. The investment value was $46.6k.

Nevertheless, analysts expect a trend reversal for price rebound. There is a selling pressure throughout the ecosystem which is bringing buying the dip opportunity for many. Its current value is down by 2.60% in the last 24 hours and 2.19% in the last 7 days. However, ETH has gained strength by 10.395 in the last 30 days. Upcoming trends are more or less at par with the current performance.

Prevailing sentiments are bearish, or at the most neutral, but not bullish. ETH could maintain the edge that it has built up till now. The highest the token is expected to go in the next 30 days is $3,520.19, up by 2.66% from the current value amid the volatility of 4.64%. The trend demonstrates less stamina for a major uptick but the token could still stand true to Ethereum prediction which expects it to end 2024 at around $5,000.

The 14-day RSI is 45.53. The 50-day SMA and 200-day SMA are $3,401.85 and $2,949.33, respectively.

Spot Ether ETF could go live by July 02, 2024. It will bring a lot of capital to the ecosystem, per Eric Balchunas, an analyst at Bloomberg. If true, then this is the final pullback unless volatility plays spoilsport. Ether ETF, once & when launched, is expected to mark uptrends in the token value along with a major capital inflow. The SEC is taking its time to approve the final registration form of applicants.

Unlike Spot Bitcoin ETF, it is believed that the agency is doing so only to be cautious and safeguard the interests of investors and traders. There is no clear downplay about rejecting applications. Hence, it is only natural for the community to expect that the agency will give a green light to Ether’s investment product.

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The movement by the whale in the last 3 days raises questions if there is a selling pressure on the way. ETH is aiming to host its ETF. If prices rise, then there could be a minor selling trend to take profits home.

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