Long-term Ethereum whales have been offloading their ETH holdings in big numbers over the past three days as ETH price faces massive selling pressure. Although ETH has bounced back more than 13% from the lows of $1,400, whales have adopted the sell-on-rise strategy. Trump’s 90-day delay in tariff implementation has given some breather to the market; however, investors are still not gaining confidence over the asset class.
Dormant Ethereum Whale Sells $16.86M Worth of ETH
A veteran Ethereum investor has sold a massive 10,702 ETH, worth a staggering $16.86 million, at a price of $1,576 per token. Blockchain data reveals that the investor acquired the $ETH as early as 2016, when the cryptocurrency was priced at just $8, as per the Etherscan data.
Interestingly, most of the Ethereum whales capitulating today refrained from selling when ETH price was above $4,000 in December last year. This latest transaction marks the holder’s return to activity after two years of dormancy, fueling speculation about the timing and strategy behind the move. Donald Trump’s DeFi project, World Liberty Financial, has also been selling ETH during this panic sell-off.
On the other hand, crypto analyst Ali Martinez believes that this could be a great time to accumulate ETH. He noted that while the long-term ETH holders are in the capitulation mode, this development could signal a potential accumulation opportunity for contrarian investors. Martinez noted that new buyers have favourable risk-reward dynamics associated with this market condition.
Is ETH Price Ready for A Bullish Reversal?
Following the ETH price crash to $1,400 on Tuesday, the altcoin has recovered by a strong 13%, and is currently trading at $1612 levels, with daily trading volumes up by 36%, at over $35 billion. Analysts have started predicting a potential reversal henceforth.
Popular crypto analyst Luciano_BTC noted that the chart shows promising signs of an ETH price breakout after maintaining stability at a critical support level. A falling wedge pattern has emerged, often regarded as a precursor to bullish reversals.
If the trendline is breached, it could signal substantial upside potential, positioning Ethereum for significant gains. Another positive catalyst for the altcoin is that the US Securities and Exchange Commission (SEC) has approved options trading for spot Ether ETF, which could lead to greater institutional participation.
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