Key Highlights
- Major whale wallet transferred 244K ETH to Binance across a three-day period, creating downward price momentum
- Spot Ethereum ETFs in the US saw $103.5 million exit the market, breaking four consecutive days of inflows
- Bitcoin has attracted more institutional investment than Ethereum following February’s correction
- Erik Voorhees-associated wallet accumulated 2,920 ETH valued at $6.67 million USDT amid price weakness
- Technical analysis shows ETH range-bound between $2,197 floor and $2,389 ceiling, eyeing $3,000 breakout level
Ethereum is hovering around $2,290 this Friday, retreating from earlier gains as significant whale activity and declining institutional interest apply downward pressure.
A prominent whale address connected to Bitcoin veteran Garrett Jin moved 78K ETH onto Binance on Friday. This deposit followed an earlier 166K ETH transfer on Wednesday, totaling a substantial 244K ETH moved to the exchange within just three days.
This selling activity correlates with ETH’s nearly 6% decline, sliding from $2,423 down to $2,277 during the identical timeframe.
Jin has established a reputation for strategic market moves, notably executing a leverage flush on October 10 after establishing a $1.1 billion short position. He also experienced a $378 million loss from long positions earlier in January.
Meanwhile, institutional demand shows signs of weakening. US-based spot Ethereum ETFs reversed their positive trend on Thursday, experiencing $103.5 million in net withdrawals after four consecutive days of capital inflows.
Research from CryptoQuant reveals that Bitcoin-focused funds have accumulated 92,116 BTC since February’s market low, while Ethereum funds have experienced net outflows of 127,000 ETH during the same timeframe.
“During periods of uncertainty, many funds appear more willing to reduce ETH exposure first, while maintaining or rebuilding BTC positions as the ‘safer’ crypto allocation,” CryptoQuant stated.
Strategic Accumulation Persists Amid Market Weakness
Despite broad selling trends, some whales are taking advantage of lower prices. A wallet tied to Erik Voorhees purchased 2,920 ETH using 6.67 million USDT, paying approximately $2,284 per token, based on Lookonchain data.
This particular wallet has previously amassed 123,184 ETH valued at $266 million. While the connection to Voorhees remains unverified, market observers are monitoring this accumulation pattern with interest.
Cryptocurrency analyst Ted highlighted on X that ETH breaking beneath $2,300 has amplified bearish sentiment throughout the market, with deteriorating confidence following the negative ETF flow data.
Critical Price Levels Under Observation
From a technical perspective, Ethereum is consolidating near its 20-day and 50-day exponential moving averages at approximately $2,307 and $2,265. The 50-day EMA has offered support following the recent two-day selloff.
Trader Sky identified a chart formation on X displaying three cup and handle patterns developing beneath the $2,389 resistance barrier. The analysis suggested potential upside movement toward $3,000 if ETH successfully breaches that threshold.
Trader Cantonese Cat presented an alternative chart interpretation showing ETH retesting a descending trendline it previously broke above in late April, raising concerns about a potential false breakout before any meaningful upward continuation.
Critical support zones are identified at $2,197 and $2,107. Resistance barriers stand at $2,389, followed by $2,746.
As of Friday, ETH has yet to establish a confirmed breakout above the $2,389 threshold, continuing to trade beneath this pivotal level.
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