Ethereum (ETH) again dropped below $2,000 after a market downturn, losing over 5% overnight. Key events in the cryptocurrency market are reviewed below.
Whale Activity Below $2,000
Despite the market downturn, ETH continues to attract major investors, who purchase the asset at lower prices. The token remains essential for DeFi, trading, and other utility purposes. In recent months, significant accumulation by whales who are withdrawing ETH from exchanges for personal holding is observed. This might indicate their expectations of future price growth.
ETH Selling Pressure From Hackers
ETH remains a token widely used to hide proceeds from hacks and exploits. Some of the extracted funds continue to be cashed out through decentralized services. Examples include rapid sales following the transfer of large sums to anonymous wallets, creating selling pressure on the market.
Ethereum Fees at All-Time Lows
Transaction fees on the Ethereum network are at all-time lows, indicating low demand for network services. The main part of the gas is spent on stablecoin transfers and Uniswap operations. Despite low fees, activity on the network remains low, which may influence the future dynamics of ETH prices.
Ethereum continues to experience turbulent times, facing both an increase in whale activity and pressure from hackers. Low fee levels and token movements indicate reduced demand for the network, which might impact future price dynamics.
