Why Ethereum whales are on a selling spree
Ethereum (ETH) price continues to hover below the $2,000 psychological level with no directional bias in sight. As Bitcoin (BTC) price continues to move sideways, the threat of a further collapse intensifies, especially if the big crypto gives away the $30,000 support floor.
Ethereum (ETH) price remains at the whims of Bitcoin price due to the high correlation between the two. But other factors affect ETH, and investor activity is one of them. As seen in Santiment’s Supply Distribution chart, large investors – popularly known as whales – have been busy selling their Ether since the start of 2023.
Bitcoin wandering in the range
The cryptocurrency market lost another 0.5% of its capitalisation overnight, to 1.2 trillion. Most losses came on Wednesday afternoon, while capitalisation has risen since Thursday morning. Since last May, the market has failed to develop growth when it reaches levels above 1.22.
The main benchmark and psychological obstacle in this upward march is Bitcoin’s $30K level. It manages to go higher within local impulses for a while, but this only strengthens the local selling. Technically, Bitcoin never managed to break out of the narrow corridor, turning from decline to rise with the start of active trading on Thursday.
Shiba Inu price recovery is likely, on-chain metrics suggest
Shiba Inu has observed a surge in on-chain activity since the end of June, with a rise in demand for the meme coin among market participants. The token’s supply on exchanges has also declined considerably, signaling a potential upcoming trend reversal in Shiba Inu’s price.
Shiba Inu, the second largest meme coin in the crypto ecosystem, saw a considerable decline in its price since early June, when the US Securities and Exchange Commission’s (SEC), the country’s financial regulator, enforced its crackdown on crypto.
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