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Ethereum Weakens as Whale Activity Drops

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Key Takeaways

Ethereum (ETH) is currently showing signs of weakness. Interest from major investors, known as “whales,” is noticeably declining. Key price levels will now determine the short-term direction. Traders should pay particular attention to the US$1,840 level.

Whales Are Pulling Back

In recent days, the activity of Ethereum whales has dropped significantly. According to data from IntoTheBlock, transactions valued between US$1 million and US$10 million have decreased by 62.42%. Smaller transactions between US$100,000 and US$1 million (-43.14%) as well as between US$10,000 and US$100,000 (-27.94%) have also declined.

Additionally, the total number of large transactions has fallen by 51.68%. These developments suggest that institutional investors and major holders are currently acting more cautiously.

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Traders Showing Bearish Tendencies

Sentiment among active traders is also shifting. The so-called Long/Short Ratio currently stands at 0.95. This means more traders are betting on falling prices than on rising ones. According to Coinglass, 51.17% of top traders are positioned short.

The Ethereum price was recently trading around US$1,805, representing a slight decline of 0.55% over 24 hours. Trading volume dropped by 40% during the same period, indicating lower market interest.

Technical Analysis: Key Price Levels

From a technical perspective, Ethereum is forming an ascending triangle on the four-hour chart. This pattern can break either upwards or downwards.

A break below the lower boundary could trigger a price decline of over 7%, potentially testing support around US$1,690.

On the other hand, a breakout above the upper boundary, especially a close above US$1,840, could initiate a new upward movement.

On a positive note, Ethereum is still trading above the 200-period Exponential Moving Average (EMA) on the four-hour chart. This suggests that the broader uptrend remains intact.

Our Assessment

Ethereum is currently experiencing a phase of uncertainty. The declining interest from whales and the bearish sentiment among traders suggest caution in the short term. However, the technical structure remains stable as long as the 200-EMA holds.

Traders should closely monitor the US$1,840 level. A breakout above it could bring new momentum. Those who prefer to play it safe should wait for clear confirmation through price action.

Sources

– IntoTheBlock
– Coinglass
– TradingView

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Casinos: 52
Profile Ethereum
Symbol ETH
Coin type Alt Coin
Transaction Speed Medium
Pros
  • Second largest cryptocurrency
  • Accepted in many casinos
  • High transaction speed
Cons
  • Partial bugs in smart contracts
Further practical applications
Price $1,772.31
24h % -2.27 %
7d % 8.91 %
30d % -7.20 %
60d % -24.20 %
1y % -45.71 %
Market Cap $213,992,502,578.00
Official Links
Socials Reddit | X
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