Key Highlights
- Major whale wallet transferred 244K ETH to Binance across three days, creating significant selling pressure
- Spot Ethereum ETFs in the US experienced $103.5 million in net withdrawals, halting a four-day positive flow trend
- Institutional investors have shown stronger preference for Bitcoin compared to Ethereum following February’s market low
- Erik Voorhees-linked wallet acquired 2,920 ETH valued at $6.67 million USDT amid price weakness
- ETH remains range-bound with support at $2,197 and resistance at $2,389, eyeing potential $3,000 breakout
Ethereum hovers around $2,290 on Friday, retreating from its weekly peak as significant whale transactions and diminishing institutional appetite create headwinds.
A prominent whale address, reportedly connected to Bitcoin veteran Garrett Jin, moved 78K ETH onto Binance on Friday. This transaction came after a Wednesday deposit of 166K ETH, totaling a substantial 244K ETH potentially headed for liquidation within three days.
The timing of these transfers correlates with ETH’s nearly 6% decline, sliding from $2,423 down to $2,277 during the identical timeframe.
Jin has established credibility for strategic market timing, notably executing a leverage flush on October 10 following construction of an $1.1 billion short position. However, he also absorbed a $378 million setback from long positions entered in January.
Regarding institutional participation, US-based spot Ethereum ETFs reversed their positive momentum on Thursday, recording $103.5 million in net withdrawals after four consecutive days of inflows.
Analysis from CryptoQuant reveals Bitcoin funds have accumulated 92,116 BTC since February’s market trough, whereas Ethereum funds have liquidated 127,000 ETH during the comparable 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 Buyers Emerge During Market Weakness
While selling dominates headlines, accumulation continues among select addresses. A wallet reportedly associated with Erik Voorhees purchased 2,920 ETH using 6.67 million USDT, representing an average entry price near $2,284 per token, per Lookonchain data.
This particular address has amassed 123,184 ETH totaling $266 million in value. Although direct confirmation linking the wallet to Voorhees remains absent, market observers are monitoring this accumulation pattern.
Cryptocurrency analyst Ted commented on X that ETH’s descent beneath $2,300 has amplified bearish momentum throughout the market, with declining investor confidence following the unfavorable ETF movement.
Critical Price Zones Under Observation
Technically speaking, Ethereum is maintaining position near its 20-day and 50-day exponential moving averages, located approximately at $2,307 and $2,265 respectively. The 50-day EMA offered support following a two-session pullback.
Trader Sky published chart analysis on X highlighting three cup and handle formations developing beneath the $2,389 resistance threshold. The assessment suggests potential momentum toward $3,000 should ETH successfully breach that critical zone.
Trader Cantonese Cat presented alternative charting showing ETH retesting a downward-sloping trendline breached in late April, indicating possible false breakout before any legitimate upward continuation.
Critical support levels reside at $2,197 and $2,107. Overhead resistance barriers stand at $2,389, followed by $2,746.
As of Friday, ETH has yet to validate a sustained breakout above $2,389, with current price action remaining beneath this threshold.
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