- Ethereum faces weak price action due to institutional sell-offs and whale sales.
- ETH struggles at $2,960 as outflows persist, but ETF sees $84M inflow.
- Ethereum could drop further if resistance at $3,080 holds, says CryptoTony.
Ethereum Faces Ongoing Selling Pressure
Ethereum is currently testing the key $2,930 support level, with price action remaining weak due to continued selling. Crypto analyst CryptoTony has pointed out that Ethereum’s performance is being heavily influenced by the selling activity from whales and institutional investors.Â
Over the past week, nearly $360 million worth of ETH was sold, significantly impacting the price.
Ethereum is currently trading near $2,960 after rejecting the $3,080 resistance, which has kept the price from advancing. The selling pressure, combined with low institutional demand, has prevented any sustained recovery for the cryptocurrency.
Ethereum ETFs have also played a role in this bearish trend. Over seven consecutive days, Ethereum ETFs saw $558.1 million in outflows, with BlackRock’s ETHA leading the charge.Â
However, on December 22, there was a brief reversal with an inflow of $84.6 million, offering some hope. Despite this, outflows continue to dominate, signaling weaker demand from institutional investors.
Support and Resistance Levels to Watch
The $2,930 support zone remains a crucial level for Ethereum. If the price falls below this point, it could trigger further declines, with the next major support level at $2,915.
Monitoring this support as it could indicate either a deeper decline or a potential recovery if Ethereum reacts positively. If Ethereum holds above the $2,930 level, a short-term recovery may be possible, especially if it can clear nearby resistance.
For Ethereum to regain upward momentum, it must overcome the $3,080 resistance. Until this level is broken, the cryptocurrency faces significant challenges in gaining further ground.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
