Will Ethereum Price Slip To $2K Amid Massive ETH Dump?

Ethereum price declined in the last 24 hours due to massive whale movements to centralized exchanges. A whale moved 80,000 ETH worth approximately $185 million from Arbitrum with similar movements in the same time frame. This led to a downward spiral for investor sentiment as users fear of larger dump spikes.

Whales Transfer Huge Ethereum Holdings

Crypto whales are moving large amounts of Ethereum to wallets sparking a fear in the market. Data from crypto tracking platform Whale Alert shows a transfer of 80,000 ETH worth $185 million from Arbitrum. This transaction caught the attention of many within the community leading to a downward Ethereum price movement.

Similarly, Hong Kong crypto firm Metalpha transferred 21,999 ETH worth $51.16 million to Binance exchanges. According to Lookonchain data, this follows a series of transactions leading to selloff fears within the community. In the last five days, Metalpha deposited $128 million worth of ETH to Binance.

Metalpha deposited 21,999.5 $ETH($51.16M) to #Binance again 1 hour ago.#Metalpha has deposited a total of 55,588 $ETH($128.7M) to #Binance in the past 5 days and currently holds 30.5K $ETH($70.3M).https://t.co/Ubxf8zwbmS pic.twitter.com/I65caBzU4L

— Lookonchain (@lookonchain) September 11, 2024

On-chain data also shows other whale transactions to centralized exchanges like Coinbase as crypto prices point downwards. While inflows to exchanges ramp up, outflows are also recorded. Recently, a Pepe coin whale moved 4 trillion tokens from Bybit exchange. This led to speculations on the price of the asset following the recent rebound.

Meme coins marked a turnaround after the price of Bitcoin regained $57k this week. Flows to crypto exchanges point to a sale while outflows to other custodians are viewed as long-term holdings.

What’s Next For Ethereum Price?

Following recent events, Ethereum price dropped 1.9% in the last 24 hours to trade at $2,290. This caused headwinds to the building momentum as traders pushed past the previous resistance level. Macroeconomic factors point to slower inflation trends in the United States raising hopes for an imminent Federal Reserve rate cut.

The US CPI shows a drop in consumer prices for the fifth consecutive month as YoY numbers stood at 2.5%. Bulls set sights on September rate cuts as a positive indicator for ETH price and other crypto assets.