Ethereum, the second-largest cryptocurrency by market cap, experienced a brief slump to $2,387 on Friday due to speculation surrounding an investigation into Tether, the largest stablecoin issuer. The drop resulted in over $390 million worth of positions being liquidated, with Ethereum traders alone losing $62.21 million.
However, amidst the chaos, there is a positive indication for Ethereum. On-chain activities have shown that whales, or large holders of the cryptocurrency, have been accumulating Ethereum following the price dip. Data from Santiment reveals that 6,428 new wallets were created by these whales, marking the largest single-day increase since September 5.
While this surge in accumulation may not immediately impact Ethereum’s price, it does suggest that whales are still interested in the cryptocurrency despite its recent underperformance. It is worth noting that these whales are wallet addresses holding $100,000 or more worth of Ethereum.
Basictradingtv, an analyst on TradingView, has labeled this dip as the last buying opportunity for Ethereum. According to their analysis, although Ethereum has corrected nearly 50% in recent months, the chart still maintains a bullish structure. They predict a 60% surge in Ethereum’s price to around $4,000 when the altcoin fully retests its earlier bullish break. However, they caution that a downtrend to $2,000 would invalidate the bullish structure.
Other analysts, such as Ali Martinez, have also forecasted an uptrend for Ethereum. Martinez suggests that Ethereum could rise to $6,000, citing a bounce to the upper boundary of its ascending triangle.
Currently, Ethereum is trading at $2,464, experiencing a 6.67% decline over the past week.
Note: This article is for informational purposes only and should not be considered financial advice. The views expressed in this article are the author’s personal opinions and do not reflect the opinions of The Crypto Basic. Readers are advised to conduct their own research before making any investment decisions, and The Crypto Basic is not responsible for any financial losses incurred.