Here’s Why The Ethereum Price Fell Toward $1,500
11 October 2023 - 2:00AM
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The price of Ethereum has experienced a notable decline following a
major Ether sale this week. The unexpected decrease has left the
crypto community anxious about the stability of the world’s
second-largest cryptocurrency and the long-term effects of the
decline. Ethereum Price Drops After Large-Scale Ether Swap On
Monday, October 9, the price of Ethereum declined following an
extensive Ether swap by the Ethereum Foundation, a non-profit
community-run organization dedicated to enabling better human
coordination. Related Reading: These Bullish Factors Prove
XRP Price Rally Is Not Over Yet The Ether transaction which took
place on Uniswap, a decentralized crypto exchange platform, saw the
ETH price drop 5% from its daily high of $1,635 to a local low of
$1,553 before recovering once more. According to Arkham data, the
Ethereum Foundation swapped approximately 1,700 ETH worth $2.7
million to a single wallet address which contained almost $400,000
worth of cryptocurrencies and was titled ‘Grant Provider’ by
Etherscan. The specific intentions behind the large-scale swap have
not been disclosed by the Ethereum Foundation. However, the
Ethereum Foundation, an organization that holds a considerable
influential position, regularly swaps large amounts of tokens to
fund its operations. Presently, Ethereum is trading at a
price value of 1589.36 after recovering from the initial decline.
The steep decline has left the crypto community worried about the
health of the cryptocurrency and whether the price of Ethereum
would recover. ETH price recovers after 5% decline | Source:
ETHUSD on Tradingview.com ETH Whales Dump $8.5 Billion The Ethereum
Foundation has not been the only large wallet to sell in recent
times as other ETH whales have taken advantage of the altcoin’s
price. According to crypto analyst Ali Charts on X, ETH whales
dumped a whopping $8.5 billion worth of tokens. Related Reading:
Crypto Analyst Presents Data To Prove That XRP Is Deflationary This
large selling started in February this year and has continued into
October. As a result, the whale selling has seen over 5 million ETH
sold and redistributed over this 8-month period. The analyst also
points out that “this selling trend continues with no current
indication of a shift towards #ETH accumulation yet.” ETH whales
dump 5 million tokens | Source: X Compared to its all-time high of
$4891.70 in 2021, the price of ETH has dropped by more than half
and has been struggling to reclaim the $2,000 mark. However, this
could present a unique buying opportunity for investors who could
see the price decline as ETH being on discount. Nevertheless,
Ethereum continues to hold its position as the second-largest
cryptocurrency in the market with a market cap of $191.5 billion at
the time of writing. Over the last day, the altcoin has also seen
some recovery, rising to $1,593 as bulls gear up to retest the
$1,600 resistance. Featured image from Techopedia, chart from
Tradingview.com
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