As the second largest cryptocurrency by market value, Ethereum could be facing significant volatility following recent market developments. A 4% decrease in the last 24 hours has highlighted a bearish outlook due to whale activities, increasing bearish rumors among investors.
Will Ethereum’s Price Drop?
The transfer of approximately 56,000 ETH to exchanges might have spread the idea of a potential correction among investors. Examining the token’s on-chain data could be more insightful in this context.
While these events are unfolding, various on-chain firms have shed light on significant whale activities surrounding ETH. In the past 24 hours, exactly 55,706 ETH was moved to one of the world’s leading CEXs.
According to data provided by Whale Alert, 10,431 ETH worth $33.23 million was transferred to Binance. Additionally, another whale moved 33,383 ETH valued at $106.12 million to the same CEXs, followed by another whale transferring 11,892 ETH worth $38.07 million back to exchanges.
These large Ethereum transactions have heightened concerns about a potential price correction in the future. The fact that whales are making such moves without a rally occurring increases the likelihood of a correction.
On the other hand, the overall market outlook is also triggering speculations on the ETH price. Initiatives suggesting Ethereum might be considered a security have caused further uncertainties and negatively impacted the price.
What is Ethereum’s Current Price?
As of this writing, Ethereum’s price has fallen 4.31% in the last 24 hours to a level of $3,172. The price movement on the token side, combined with derivative data, presents contrasting views.
Data from Coinglass shows a 4.76% decrease in open interest for ETH, while derivative volume has increased by 11%.
The volatile price movements in Ethereum recently, along with derivative data, are likely causing mixed feelings among investors due to speculation-driven transactions.
In other news, we recently reported that TRON’s founder Justin Sun has been accumulating large amounts of ETH. This could be interpreted as Sun having bullish expectations for ETH in the upcoming period.
