Vitalik Buterin Moves 1,300 ETH, Sparking Concerns and Ethereum Price Prediction
Ethereum co-founder Vitalik Buterin has once again been spotted moving large amounts of Ethereum (ETH) from his wallets, sparking concerns among investors and contributing to a slight dip in ETH prices.
Over the past 12 days, Buterin has transferred approximately 1,300 ETH, valued at around $3.35 million, to the cryptocurrency exchange Paxos. This has coincided with a 2% decline in the ETH price, falling from its recent resistance level of $2,700.
Major news in the crypto world! Vitalik Buterin's wallet, “0x556,” just deposited 649 ETH (around $1.72M) to Paxos. This follows a recent transfer of 1,300 ETH worth $3.21M from wallet “0xd04.” As Ethereum experiences a 2.50% pullback, questions arise about market sentiment. Is… pic.twitter.com/K1OuA5GYGv
— CryptoniteUae (@CryptoniteUae) September 30, 2024
Buterin’s ETH Sales: On-Chain Activity and Market Impact
On-chain data from Spoton Chain reveals that Buterin’s wallet, identified as “0x556,” deposited 649 ETH worth $1.72 million to Paxos in the last 24 hours alone.
Earlier this month, on September 19, this wallet received 1,300 ETH ($3.21 million) from another Buterin-linked address, “0xd04,” funded with 70,000 ETH in 2022.
Vitalik Buterin's wallet "0x556" moves 649 ETH ($1.72M) into Paxos after receiving 1,300 ETH ($3.21M) from wallet "0x0d4". Earnings from ETH's value increase saved in Paxos totaling $3.35M. #ETH #Paxos #VitalikButerin @Panewslab
— Sharpe Signals (@SharpeSignals) September 30, 2024
Buterin’s wallet has offloaded all 1,300 ETH during the past 11 days at an average price of $2,581 per ETH. The sales come at a time when Ethereum has been demonstrating strength, which makes the timing noteworthy.
It is also worth mentioning that Buterin’s recent move coincided with the announcement of his new initiative, “Ethereum Alignment,” aimed at fostering decentralization and ecosystem cohesion.
Market Reactions and Whales Buying the Dip
While Buterin has been selling, some savvy traders have taken the opportunity to buy the recent dip. Lookonchain, a popular blockchain analytics platform, reported that a prominent Ethereum whale acquired 10,083 Ethereum worth $26.8 million just hours after Buterin’s transactions.
This whale has a stellar record, having executed 10 successful ETH swing trades since August 12, resulting in $2.14 billion in profits.
This kind movement is called higher Volatility injection of liquidity.
BULLISH engulfing candle spotted .
This shows demand is high, retailers bidding heavy to conquer a position.
This zone is wrong to enter the market.#ETHW pic.twitter.com/8HoeAEGiiy
— COS~MAS (@COSMASANALYST) September 30, 2024
Resuming inflows into spot Ethereum ETFs last week served as evidence that institutional interest in Ethereum is still high.
This renewed participation suggests that larger investors continue to view ETH as a long-term value proposition, despite short-term fluctuations.
Technical Analysis: ETH Faces Resistance at $2,800
Ethereum (ETH) is currently trading at $2,633.08, consolidating within a symmetrical triangle pattern that suggests indecision among buyers and sellers.
The pattern, defined by converging trendlines, indicates that a breakout is imminent, with the direction yet to be determined.
Ethereum’s pivot point stands at $2,641.89, acting as immediate support. A break below this level could lead to a bearish move toward the next support at $2,605.38, followed by $2,580.72.
On the upside, immediate resistance lies at $2,655.62, with subsequent resistance levels at $2,671.35 and $2,701.56. A decisive close above $2,701.56 would invalidate the symmetrical triangle and potentially signal a bullish continuation toward $2,728.70.
The RSI (Relative Strength Index) is at 43.87, indicating neutral to slightly bearish momentum. Additionally, the 50-day Exponential Moving Average (EMA) is currently above the price, further suggesting short-term bearish pressure.
Overall, Ethereum is at a critical juncture, and traders should watch for a confirmed breakout above or below the triangle pattern to gauge the next significant move.
Key Insights:
- Symmetrical Triangle Pattern: Indicates potential breakout; direction remains uncertain.
- Immediate Resistance: $2,655.62; pivotal for upside momentum.
- Immediate Support: $2,641.89; a break below may lead to a deeper correction.
Technical Indicators:
- RSI: 43.87 (Neutral to Slightly Bearish)
- 50 EMA: Above the current price, signalling short-term downward pressure.
Conclusion: Ethereum’s symmetrical triangle pattern hints at impending volatility, with critical support and resistance levels likely to determine the next trend direction.
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