Ethereum is facing potential sell-off risks as bearish sentiment grows in the market following a significant transaction by a large holder who transferred 6,131 ETH ($10.94 million) to the Binance exchange. Lookonchain believes that moving funds back and forth between private e-wallets and centralized exchanges signals imminent sell-offs, causing investors to raise concerns.
Further anxiety stems from the fact that two major holders at the Maker platform, or "whales," may be liquidating their positions.
In the last 24 hours, Ethereum transactions worth $1.87 billion have been processed by the exchange. Analysts at COINOTAG noted that large sellers seem to be driving a significant portion of them. Therefore, ETH has fallen by 1.85%. The resistance level between $1,857 and $1,963 represents an additional hurdle for the asset's recovery, as some 7.89 million sell orders may limit further gains, according to experts.
Moreover, the crypto's daily trading volume has dropped to 614,000, indicating waning interest from traders. Given the current data, COINOTAG analysts warn that the risks of further decline in Ethereum remain significant.