The post Ethereum – Examining why these institutions dumped $123M in ETH appeared on BitcoinEthereumNews.com.

ETH’s RSI formed a bullish divergence on the daily timeframe 53.88% of top traders now hold long positions, while 46.12% hold short positions In light of the bearish market, Ethereum (ETH), the world’s second-largest cryptocurrency, is being continuously dumped by institutions and whales. This has resulted in notable price drops on the charts. In fact, according to a post on X (Previously Twitter), institutions dumped a significant 55,035 ETH worth $123 million to Binance, during the Asian trading hours.  Institutions offload millions worth of ETH The on-chain analytics platform revealed that the institutions involved were Wintermute, a leading algorithmic trading firm, and Metalpha a digital asset manager. Together, they dumped 46,947 ETH worth $104.74 million and 8,088.8 ETH worth $18.05 million, respectively, in just two hours. This significant dump has the potential to impact the altcoin’s price. Potential reason behind the recent dump The potential reasons behind this dump are the ongoing bearish market sentiment, the sustained rise in exchange ETH reserves, and the decline in Futures Open Interest for three consecutive months. According to CryptoQuant, Ethereum exchange reserves have been continuously rising since 28 August. This means that either whales, investors, or institutions may be moving their assets to exchanges for a potential sell-off.  Source: CryptoQuant CoinGlass’s exchange Futures Open Interest has been continuously falling too. This underlined either the liquidation of long positions or the expiry of Futures contracts, with no new positions being built. Source: Coinglass Here, it’s worth pointing out that September is often considered a bearish month or a period of price correction for cryptocurrencies, before potentially skyrocketing in October. Ethereum technical analysis and key levels According to a look at the price charts, Ethereum has retested its crucial support level of $2,140. Since late 2023, this level has acted as strong support for ETH.…

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Filed under: News - @ September 7, 2024 5:18 pm