After failing to touch $1.8k, Ethereum (ETH) has continued to hover around $1.7k. At the time of writing, ETH was trading at $1748, after a slight rise of 0.68% on the daily chart.
The good news is that this market pull has created a good buying opportunity, especially for those with a lot of money.
Ethereum whales are piling up aggressively
During the long journey, the whales continue to gather. According to Onchain lensthe whale removed 30.01K The price of ETHworth $52.84M, from Coinbase Prime to the new wallet.
Lookonchain images it also reported two more whales that had piled up. According to the project, the newly created wallet withdrew 8,239 ETH, worth $14.5 million, from several groups.
The other whale bought 11,843 ETH worth $20.8 million. The two fish earned 20,082 ETH worth 35.3 million dollars.
Finally, the wallet withdrew 37,000 ETH, worth $65.66 million, from Gemini and transferred it to the Eth2 Beacon Chain.
In total, these four whales bought 87,083 ETH worth $153.8 million. Whales are increasing in this period of market weakness showing confidence in the growth of the market.
Also, the exchange rate has been proportional to the number of these whales. In fact, the whales have taken most of the available information on CEXs.
Meanwhile, the Exchange Rate Supply Ratio returned to the 2016 level of 0.129 at press time.
When the ESR drops to this low, it means that more products have left the exchange than entered.
In many cases, such market activities reduce supply while increasing scarcity. The cost overruns preceded the price hikes.
Is the demand enough to raise the price of ETH?
Interestingly, despite the significant recovery in demand, mainly led by whales, ETH has not reflected this in its prices.
Likewise, altcoin momentum has remained weak. For example, if we look at the Stochastic Momentum Index (SMI), it made a bearish crossover and fell to 37.
A bearish move here has shown that this trend has weakened significantly. Therefore, the demand for whales today has proven to be insufficient to encourage large movements.
This situation, shows the weakness of the Ethereum market. Therefore, if the trend continues, ETH may drop to $1710, with the RSI returning to $1681 as a critical support.
However, if the whales multiply and the market starts to feel the effects, we could see a big rally. In order to move forward, Ethereum must recover the damage of the RSI at $1847, which will strengthen the rise of the altcoin.
Brief Summary
- Ethereum whales are piling up aggressively, I added 87,083 ETH worth $153.8 million.
- Despite the resurgence of whale demand, ETH remains weak and poses another risk.
