- Ethereum whale sends 5,000 ETH to the exchange.
- Spot ETF approval will not yet impact ETH price trends.
Ethereum (ETH) whales recently transferred approximately $15 million worth of assets to exchanges. This action comes shortly after news of ETF approval in Hong Kong emerged.
Did the migration of whales affect prices? Has ETF approval also affected prices?
Ethereum whales take profits
Source of data Look on chain An Ethereum whale recently moved 5,000 ETH to the Kraken exchange, which was worth over $15.4 million at the time of the transfer.
Further analysis revealed that the same whale withdrew 96,638 ETH from Coinbase in September 2022. At the time, ETH was valued at approximately $1,567, resulting in a withdrawal value of over $151.4 million.
This suggests that recent transfers were likely made to take profits, given ETH’s surge above $3,000. The whale wallet currently holds 76,638 ETH, currently worth over $233.5 million.
Ethereum continues to decline
Analyzing the Ethereum daily timeframe chart reveals a recent lack of profitability. Over the past three days, ETH has experienced a sustained downward trend following a 4% increase on April 14th.
Despite this decline, it maintained its initial 4% gain from the start of the week.
Source: Trading View
At the time of writing, ETH is trading at around $3,080, down less than 1%.
Moreover, this decline further deepened the bearish trend in ETH, as seen by the Relative Strength Index (RSI) hovering around 40 and the Moving Average Convergence Divergence (MACD) trending below zero.
These indicators overall indicate strong bearish momentum for ETH despite positive news from Hong Kong earlier in the week.
At press time, Ethereum’s netflow data showed an increasing trend of ETH leaving exchanges.
However, by the end of trading on April 16, there was a positive net flow, with 10,230 ETH flowing into the exchange. Nonetheless, as of press time, over 27,000 ETH outflows have been recorded.
Source: CryptoQuant
ETF approval will not yet affect ETH price trends.
According to multiple reports, Hong Kong recently approved several spot Ethereum ETF proposals along with a spot Bitcoin ETF proposal.
Surprisingly, this approval did not cause any notable reaction in the Ethereum price. This lack of response may be due to the lack of an official statement from the SEC on its approval.
Investors should be cautious about celebrating prematurely, considering that fake news has occurred in the past regarding the approval of a spot BTC ETF.
Read Ethereum (ETH) price prediction for 2024-25
Even if officially confirmed, the impact on the market may be minimal due to reduced trading volume.
Unlike the significant ETF trading volume for BTC witnessed in the US, the volume expected in the Hong Kong market may not be enough to drive significant market movements.