Ethereum Foundation has sold 550 ETH, valued at $1.28 million, over the last four days. This move follows a Thursday sale by Ethereum co-founder Vitalik Buterin. According to data from Spot On Chain, the foundation sold 450 ETH for $1.029 million in DAI. These transactions averaged $2,324 per ETH, sparking discussions on the timing and implications of the significant sell-off.
🚨🚨 After Vitalik, the Ethereum Foundation is the next to sell $ETH!
Just 10 minutes ago, the #EthereumFoundation sold 450 $ETH for 1.029M $DAI.
In total, they’ve sold 550 $ETH ($1.28M) at an average price of $2,324 in the past 4 days.
Follow @spotonchain for more updates… https://t.co/d2bP0WLo9C pic.twitter.com/cjgFvMeOvw
— Spot On Chain (@spotonchain) September 9, 2024
Bullish Momentum Building
Crypto analyst Michael van de Poppe remains optimistic, pointing out that the ETH chart shows signs of a potential market reversal. In an X post on Monday, he noted that a bullish divergence remains valid, and Ethereum has established a higher low. The analyst suggests that the long-standing downtrend, which has impacted ETH prices for months, may be on the verge of breaking upward.
I’m getting excited about the $ETH chart.
The bullish divergence is still valid and a higher low has been made.
The downtrend of the past months is likely going to be broken upwards.
That could be a significant push for the entire market. pic.twitter.com/M3hDhxD56Z
— Michaël van de Poppe (@CryptoMichNL) September 9, 2024
Ethereum Key Resistance Zone
The analysis highlights key areas that traders are watching closely. Ethereum has dropped 28% since its recent peak, but the formation of a higher low signals possible positive momentum. The crucial resistance zone lies between 0.0515 and 0.0530 BTC. Analysts view this area as key for a potential trend reversal.
As of press time, Ethereum is priced at $2,303, reflecting a 0,72% increase over the last 24 hours. Despite this short-term gain, ETH has seen a decline of 8.28% in the past week, indicating some ongoing market pressure. In terms of activity, Ethereum has maintained a robust 24-hour trading volume of $13.06 billion, highlighting strong market engagement despite recent price fluctuations.
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Concerns Over Foundation Strategy
The Ethereum Foundation’s sell-off sparks significant concerns about its strategy at a time when market sentiment is shifting. However, with van de Poppe’s bullish outlook, many traders remain hopeful that Ethereum could soon lead a broader market recovery.
The Ethereum Foundation’s sell-off could have broader implications for the entire cryptocurrency market. Large transactions like these often create ripple effects, influencing market sentiment and potentially impacting the prices of other digital assets. If Ethereum breaks its downtrend, it could trigger a market rally and lead to stronger performance across the crypto space.
