In one week, 230,000 ETH were sold by Whales, pushing Ethereum below $3,200. The most important support areas are at 3,000 and 2,400.
Ether (ETH) has declined nearly 15 per cent over the past week, and it currently trades near the 3,000 mark following the dumping of nearly 230,000 tokens by its key holders.
Source – X
Whales that had 10,000 or more to 1,000 ETH reduced their positions by approximately 14.4 million to 14.17 million. In the same timeframe, the price dropped to slightly more than $3,200, between November 9 and 17, after it had hit a high of about $3,600.
Such whale action exerted a downward influence and increased bearish effect.
Unstable Support Zones and Weak Inflows.
There is no increase in new depositor activity, which reflects a low retail interest. Interestingly, the market might experience even stronger pullbacks without new buyers.
The first major area of concern is the support of $3,000. Should ETH drop below it, the following levels turn to be pivotal: support at around 2,400, Fibonacci at 2,621, and 2,255.
According to the chart analysis, ETH is closing on the lower side of a decreasing channel, approximately, around 2,900 to 3,100, which is a technical position that could be the deciding point.
When ETH does not manage to maintain this zone, prices may fall further; a recovery above the upper trendline may propel a new wave to $4,000.
Related Reading: Ethereum Latest News: Ethereum Whales Snatch Nearly 400K ETH – Bullish Signs Surge
Market Sentiment and Liquidity Clusters.
The liquidity groups are around 2,900-3,000, where buyers might intervene. The vulnerability of Ethereum is further contributed to by the Bitcoin vulnerability.
Source – X
The nearest resistance is at around $3,600 in the event of a bounce. Although the market has been bearish in the recent past, certain institutional whales continue to acquire ETH during volatility, indicating ambivalence.