Ethereum whales dumped over 100,000 tokens, move that may be linked to stagnant coin price
Ethereum (ETH) has been trading well below community expectations since the Shapella upgrade. Although ETH has held crucial support at $1,800, its price has yet to break above what is considered the most critical price, and it is ankle to $2,000 in the past two weeks.
As of this writing, Ethereum is changing hands at $1,833.20, down 0.86% in the last 24 hours. The suppression Ethereum is experiencing has continued over the cumulative time since the beginning of the week (WTD). In this time frame, the coin rose by a marginal 0.47% during the period under review.
On-chain analysts with the Twitter handle @ali_charts have underline a phenomenon that could be responsible for Ethereum’s sustained price stagnation. Based on data from Santiment, Ethereum whales holding 1,000 to 10,000 ETH tokens have sold off their coins over the past two weeks.
#Ethereum whales with 1,000 to 10,000 $ETH unloaded more than 110,000 #ETH over the past two weeks. pic.twitter.com/NBbhhk3coS
—Ali (@ali_charts) May 2, 2023
During this period, the data showed that a total of 100,000 ETH tokens were offloaded. While the offload has remained vaguely indefinite, the numbers are proof that the Shapella upgrade has opened up access for more people to liquidate their multi-year locked asset.
Ethereum and the advantage of its ecosystem
When it comes to Ethereum, it has a very promising advantage based on the growth of its ecosystem. With Layer 2 protocols bolstering the overall positive sentiment on the network, the upcoming series of updates also lend credence to the bright future of the Ethereum blockchain.
So far this year, Ethereum has exceeded its previous projections. Earlier in the year, Ethereum was expected to surpass $1,500, but the digital currency didn’t just beat that price level; it also overtook it afterwards.
Ethereum maintained its position as the second largest blockchain protocol in terms of valuation and first in terms of hosting smart contracts. All in all, its price stagnation is seen as a temporary event that can be reversed at any time.