Investors forgoing Ethereum as market crashes

ethereum price analysis

Ethereum has started experiencing a price decline in the recent few days. Although bulls are rallying to hold Ethereum on to its technical support level of $1000 various investors have started selling Ethereum triggering another price drop.

Liquidation of Ethereum

In the last few hours, Ethereum saw a liquidation of nearly 28,000 Ethereum surpassing the record liquidation of Bitcoin. Traders liquidated nearly $32 Million worth of Ethereum due to the failure of Ethereum to test the $1500 mark.

The overall cryptocurrency markets saw nearly 120 million liquidations in the past few days. Majorly long-term investors have their positions.

Whales scooping up Metaverse tokens

The majority of Whales on the Ethereum network are leaving Ethereum and jumping onto various altcoins associated with Metaverse. The most popular altcoin being accumulated by the whales is Sandbox.

Apart from Sandbox whales are also accumulating APE and Decentraland. This trend has resulted in positive market sentiment towards the various Metaverse-related altcoins and has increased their value.

Will ETH see a full recovery?

Ethereum has been showing a positive trend since last month. It had been maintaining its upward trend while the coin successfully tackled the bears in the market. This week Ethereum reached its 20-day moving average which will subsequently boost its future price.

However, this price boost lasted over a week as Ethereum started showing signs of downfall over the past week. Ethereum fell from its mark of $1200 and reached a price of around $1140. The coin couldn’t gather much support at the price rate of $1160 and subsequently lost its fight signaling a downward trend.

Disclaimer: The opinions expressed in the Blog are for general informational purposes only and are not intended to provide specific advice or recommendations for any individual or on any specific security or investment product. It is only intended to provide education about the financial industry. Please do your own research.

Author - Govind R.