Large Ethereum Holders Purchase the Market Dip, Moving 1 Million ETH out of Exchanges
The cryptocurrency market as a whole is causing confusion due to its high volatility. In the midst of this, whales and investors are seen adding valuable tokens to their portfolios as they are available at discounted prices.
Today, on February 11, 2025, a well-known crypto expert shared on X (formerly known as Twitter) that whales have identified Ethereum (ETH) as a prime investment opportunity and have acquired millions of dollars worth of ETH in the past week.
Withdrawal of 1 Million Ethereum (ETH) from Exchanges
In the expert’s post on X, it was mentioned that more than 1 million Ethereum (ETH) have been withdrawn from exchanges in the past week. This significant outflow of tokens from exchanges indicates a potential accumulation, which can create buying pressure and drive the price further upwards.
Furthermore, this outflow suggests an excellent buying opportunity. However, the current market sentiment appears bearish, and there is a strong possibility that this substantial accumulation might reduce the selling pressure.
Bearish Approach of ETH Traders
Despite the optimistic viewpoint of investors and long-term holders, short-term traders seem to be adopting the opposite approach, as reported by the on-chain analytics firm Coinglass.
At the moment, traders who are betting on the price increase of ETH seem exhausted, while those who are taking short positions have the upper hand. According to the available data, traders with long positions are over-leveraged at the $2,568 level, with a value of $108 million. On the other hand, traders with short positions are over-leveraged at the $2,690 level, holding $415 million worth of short positions.
This data on liquidation clearly indicates the current market sentiment, with short positions being four times stronger than long positions. Additionally, short traders have the potential to easily liquidate long positions.
Current Price Momentum
Ethereum is currently trading around $2,588 and has experienced a price drop of over 4.10% in the past 24 hours. However, during the same period, the trading volume has decreased by 17% due to the high volatility and significant price fluctuations, indicating lower participation from traders and investors compared to the previous day.
Tags: Crypto news, Ethereum, Price Analysis