Broker of the Week Oanda - Read Full Review

Free Top Brokers Comparison Service

HELP ME CHOOSE START QUIZ

Ethereum cools off as miners book profits en masse, prices still look primed to rebound

[ad_1]

  • Ethereum price was rejected at its all-time high of $1,440 and has significantly cooled off.
  • ETH miners have taken some profit in 2021 which could have contributed to the selling pressure.

Ethereum price reached $1,440 on Coinbase, a new all-time high before plummeting to a low of $1,234. It seems that ETH miners have been selling a lot in the past few weeks as their balances have dropped below 1 million ETH for the first time since the price hit $1,000.

Ethereum price faces healthy correction and it’s poised for another leg up

Most of the selling pressure comes from ETH miners selling a significant amount of coins from January 3 until now. This can be concerning to the bulls in the short-term as miners could continue to panic sell if Ethereum price falls harder.

eth price

ETH Miners Balance

Additionally, the MVRV (30d) chart shows Ethereum is still close to the danger zone although this metric has cooled off with the last dip. The risk of accumulating ETH when the digital asset is close to the danger zone is certainly higher.

eth price

ETH MVRV (30d) chart

The recent sell-off from Ethereum’s all-time high happened right after the TD Sequential indicator presented a sell signal in the form of a green nine candlestick on the 4-hour chart. So far, ETH bulls have defended a crucial support level at $1,183. However, if this one breaks, bears will take control of the trend.

eth price

ETH/USD 4-hour chart

Ethereum has re-tested the previous resistance level of an ascending triangle pattern on the 4-hour chart. Considering that the SuperTrend has remained bullish, the digital asset could be aiming for a high of $1,670 after a rebound. 

eth price

ETH Holders Distribution

It’s also important to note that despite miners are selling, whales aren’t. The number of large holders with 1,000,000 to 10,000,000 ETH coins hasn’t moved since January 15 and it has increased by two since January 6. Similarly, whales holding between 100,000 and 1,000,000 have accumulated even more ETH since the beginning of 2021.

[ad_2]

Source link

We will be happy to hear your thoughts

Leave a reply

Trading foreign exchange on margin carries a HIGH LEVEL OF RISK, and may not be suitable for all investors. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. You could sustain a loss of some or all of your initial investment and should not invest money that you cannot afford to lose.

Advertiser Disclosure: Brokerspilot.com helps investors across the globe by spending over hours each month testing and researching online brokers.

How do we make money? Our partners compensate us through paid advertising.

While partners may pay to provide offers or be featured, e.g. exclusive offers, they cannot pay to alter our recommendations, advice, ratings, or any other content throughout the site.

Furthermore, our content and research teams do not participate in any advertising planning nor are they permitted access to advertising campaign data.

Disclaimer: It is our organization’s primary mission to provide reviews, commentary, and analysis that are unbiased and objective.

While Brokerspilot.com has some data verified by industry participants, it can vary from time to time.

Operating as an online business, this site may be compensated through third-party advertisers.

Our receipt of such compensation shall not be construed as an endorsement or recommendation by Brokerspilot.com, nor shall it bias our reviews, analysis, and opinions.

en_USEnglish
Best Forex Brokers Reviews
Logo
Reset Password
Compare items
  • Total (0)
Compare
0