Bearish Signal? Whale Transfers Over 70,000 ETH To Exchange

Ethereum Whale

Ethereum Whale

While Ethereum (ETH) has tread carefully amid the various sentiments about the crypto market, a large investor seems to be close to dumping its ETH holdings on the market. Earlier today, the on-chain analysis platform Lookonchain revealed some enormous transactions going on behind the scene of Ethereum.

According to the analysis platform, over 70,000 ETH was seen transferred to the popular crypto exchange Bitfinex hot wallet nearly six hours ago. Regardless, Ethereum still trades above $1,900 which indicates the whale may not have made any decision yet with the transferred Ether.

Over 70,000 Transferred To Exchange, Why?

In one of its Twitter posts posted earlier today, Lookonchain noted an Ethereum whale with the address “0x8033” transferred 75,311 ETH worth $144 million to Bitfinex exchange Hot Wallet. Though, the whale’s move on sending the ETH is still unknown, however, it could be a possible sell-off.

Related Reading: Experts Expect Ethereum (ETH) To Break $2,000 Shortly, Here’s Why

According to Lookonchain, the same whale received 76,212 ETH from Bitfinex on January 5 in 2019, when ETH still had a market price of around $156. The whale eventually deposited 900 ETH into Tornado Cash on December 6, 2020.

Despite the whale’s unknown pending decision, It is worth noting that the whale might be looking to take profits, which means selling all of the over 70,000 ETH sent to the Bitfinex exchange.

This is because, in the crypto market, a large amount of deposit of an asset to exchange may indicate an upcoming selling pressure as exchanges are where most large investors go to sell their holdings of an asset.

Massive Dip Incoming For Ethereum?

Though as earlier stated, this news could mean a possible large sell-off of ETH is about to take place in the Ethereum market. However, looking at the ETH price chart, the asset does not seem to show any upcoming plummet, from a technical perspective.

Ethereum (ETH) price is moving sideways to tap into the $2,000 zone on the 1-day chart | Source: ETH/USDT on TradingView.com

On the 1-day chart, ETH now seems to be looking to break above a notable high which is just above the $2,000 region. Should ETH eventually break past that zone, the asset’s price could see a quick spike that may bring it closer to the next notable high which is seen at the $2,100 region.

Related Reading: Ethereum Breaks $1,900 As Sharks Continue Accumulation

Meanwhile, after surviving a slight retracement over the weekend, ETH is currently in the green up by 2.5% in the last 24 hours. The asset’s price has moved from trading at a low below $1,800 during the weekend to trading above $1,900 at the time of writing following its bullish trend from the beginning of the day. 


Featured image from Unsplash, Chart from TradingView

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