In a surprising move, institutions recently sold off Ethereum (ETH) worth a staggering $105 million during a market correction that saw the altcoin’s price plummet by over 7% in just 24 hours. Notable whales, including trading firm Cumberland, dumped large amounts of ETH on exchanges, with the total sell-off consisting of $57.3 million in ETH from Cumberland alone. This sudden move by institutional investors raised questions about their motives and the impact it had on the price of ETH.
While the sell-off may have initially caused concern among investors, on-chain data suggested that the decline presented an opportunity to buy ETH before another rally begins. Metrics like Mean Dollar Invested Age (MDIA) and network growth indicated that ETH could be undervalued and poised for a potential uptrend. The increase in MDIA and a drop in circulation were seen as positive signs for ETH, potentially signaling less selling pressure and a chance for the cryptocurrency to break out of its recent downturn.
The recent market events have stirred speculation about the future of ETH and whether the current dip in price could lead to a resurgence. With institutions offloading significant amounts of ETH, the cryptocurrency market is on edge as investors analyze the data and look for signs of a potential rally. As the market dynamics continue to shift, all eyes are on ETH to see if it can maintain its recovery and push towards higher price levels in the near future.
