$$ETH clearly contributing to the dip, particularly new geopolitical tensions after the US launched attacks on Iran, this whale deposit into Coinbase may have increased the downward pressure. Exchange inflows of this magnitude are a precursor to liquidation, particularly now that investor sentiment is on edge.
Bearish Setup Confirms Downside Targets
The technical picture for Ethereum is now turning bearish, at least in the short term. Technical analysis of Ethereum’s 4-hour chart on the TradingView platform shows a clear bearish breakdown setup after Ethereum broke below a crucial support line at $2,362. That support level has now been breached, and confirmation of the breakdown amplifies a bearish case moving forward.
Chart Image From TradingView
The chart above, which includes overlays of the Ichimoku Cloud, shows a fading bullish momentum in the past few days. Previous failed attempts to break resistance have left Ethereum in a vulnerable zone, and the recent whale selloff may have delivered the final push needed to trigger this leg down.
If the current trajectory continues, Ethereum could be on its way to retesting lows below $2,000. According to the TradingView analysis, potential reversal targets are at $2,151 and $1,954, with a third possible level at $1,750 if the selloff is more than expected. At the time of writing, Ethereum is trading at $2,290, down by 5.5% and 10% in the past 24 hours and seven days, respectively
