An inactive cryptocurrency shark has locked up 7,182 ETH worth 18 million USD after 1.2 years, despite facing an unrealized loss of 4.87 million USD.
Are Ethereum sharks correct to be optimistic, or is the selling sentiment among retail investors the wise strategy this time?
Inactive Ethereum shark holds 18 million USD in ETH
In the context where Ethereum [ETH] cannot surpass higher resistance levels, large investors are avoiding closing positions. These sharks have returned to the market after 1.2 years, while staking 7,182 ETH worth 18.08 million USD through the Lido Finance platform.
Source: IntoTheBlock
Interestingly, these Tokens were initially withdrawn from Binance at a price of 22.96 million USD, recording an unrealized loss of 4.87 million USD. Instead of selling at a loss, this shark chose to benefit from yield, demonstrating confidence in Ethereum's long-term potential.
In a sideways market, such staking strategies serve as a hedge, minimizing the risk of wasted inactive volume while expressing bullish intent. This sentiment is spreading among the major Ethereum sharks throughout the market.
Shark group gathers again
Source: IntoTheBlock
Data from IntoTheBlock confirms that Ethereum sharks have accumulated an additional 613K ETH in just 24 hours, a sign of increasing confidence among large investors. The market has witnessed positive netflow from sharks for 3 consecutive days.
Retail investor sentiment diverges...
Although Ethereum sharks exhibit optimism, many retail investors remain cautious. Trading activity on exchanges shows that ETH is experiencing higher inflow and outflow, indicating an increasing trend in sell-offs.
Source: CryptoQuant
Investors, especially retail, are withdrawing ETH from exchanges, showing a stark contrast in behavior between small and large groups. Data from CryptoQuant indicates that netflow into exchanges over the past 3 days has reached 46.9K ETH, reflecting a sentiment of concern rather than expectation.
Will the support level of 2.4K USD for ETH hold?
Technical indicators such as Stoch RSI and RVGI are increasingly warning about the potential downturn of ETH. Since last week, the Stochastic RSI has broken its upward trend and is moving towards the oversold zone at level 8, sharply declining from a high of 72.
This reflects strong selling pressure, with indicators showing a bearish trend that could lead to a drop below important support levels. The RVGI indicator confirms the possibility of ETH dropping straight from the 2.4K USD mark, the 50-day moving average.
Source: TradingView
If the decline continues, Ethereum could lose the support area around 2,438 USD, paving the way for a deeper drop to around 1,200 USD, ending this altcoin's medium-term bullish trend.
Source: https://tintucbitcoin.com/bo-ethereum-thua-18-trieu-usd-ban-thao-hay-lai/
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