Pressure from whales and institutional buyers offset selling, stabilizing prices.
After Ethereum co-founder Jeffrey Wilke transferred all his ETH to Kraken, controversy arose.
ETH could rise more than 40% if the rounding bottom is confirmed.
Ethereum (ETH) remained above $2,500 on Tuesday, despite investors selling more due to profit-taking and loss realization.
When prices exceed $2,500, ETH futures charts show red bubbles, indicating overheating or increased trading volume.
According to IntoTheBlock data, investors bought 70.78 million ETH at prices ranging from $2,348 to $2,548, which aligns with the assessment. Investors may be sensitive to falling prices approaching their cost basis, increasing volatility around $2,500.
As prices approached $2,500, the activity of large volumes increased realized profits and losses, with investors capturing about $300 million in profits and over $60 million in losses over the previous two days, according to Santiment statistics.
On Tuesday, Nasdaq-listed company BTCS purchased 3,450 ETH for $8.42 million, increasing its total holdings to 12,500. According to Lookonchain, the digital asset investment firm Abraxas Capital bought 46,295 ETH on Monday, raising its total holdings from May 7 to 350,703 ETH.
On Tuesday, Ethereum co-founder Jeffrey Wilke transferred nearly his entire balance of 105,737 ETH to Kraken, causing negative growth.
Coinglass data shows Ethereum futures liquidations totaling $71.83 million in the last 24 hours. Liquidations of long positions amounted to $41.02 million, while short positions accounted for $30.81 million.
The weekly chart for ETH has been volatile since its rise from May 8 to 11. Near the resistance level of $2,530, just below the psychological mark of $2,500, buyers and sellers battled for dominance.
ETH attempted to form a rounding bottom pattern before encountering resistance at the 50-week SMA. ETH could overcome $2,850 to confirm the rounding bottom pattern if new demand emerges and the 50-, 100-, and 200-week SMAs become significant support levels.
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