The dips seem to be transitory in the broader crypto space. The latest correction in the Bitcoin price would be a sign of potential price action in the near term. Besides, its counterpart Ethereum has continued its long slog post claiming new ATH.
Ethereum Price To Dump By 60%?
The recent suspicious development across the Ethereum ecosystem has raised concerns among holders. According to the latest insights of Ethereum Blockchain explorer, a total of 20k Ethereum worth $100 million was transferred to Kraken exchange. The actual point of the discussion is not the amount of Ethereum transferred, but the account behind it. Further, the data from the Etherscan confirms a transaction was done by the Ethereum foundation.
A similar incident once happened during the May market crash, where one of the Ethereum developers made a transaction worth $112 million on May 17th, 2021. However, the Ethereum price was dumped by 61% owing to a large transaction. The Chinese market crash was a cause for that transaction and price decline. While market sentiments seem to be quite progressive for the altcoin, ETH price might continue to rise.
ETH Price Analysis:
The star altcoin has been trading at $4,570 with 2.23% gains over the past week. The latest rejection at $4,730 has led the price to decline by 3.17% in 24 hours. Owing to the dominance in increased selling pressure, the price seems to be looking out for immediate support. It might settle between the range of $3,800 and $4,000 if the present downtrend continues. On the other hand, if a significant chunk of buyers jumps into the trade, the price would rise towards the $5,000 mark.
Collectively, Ethereum’s price has gradually outpowered Bitcoin over the past year. The protocol has recorded gains of 26% and 22% in Q2 and Q3 of 2021, which is more than the market leader. Hence, the star altcoin would undergo a short retest, but a resurgence is mandatory.