- Trader CryptoTony identifies a classic “sweep and pump” setup, where ETH undercuts $2,030 to absorb sell orders before a projected move toward $2,190.
- Despite a 3.4% daily dip, on-chain data shows a single whale staked 60,000 ETH ($120M+) into the Beacon Chain, signaling long-term institutional confidence.
- Approximately 470,000 ETH has been withdrawn from exchanges in the last 30 days, significantly reducing the liquid supply available for further sell-offs.
The ever-fluctuating world of cryptocurrency, Ethereum (ETH) continues to capture attention with its recent price action. ETH trades at approximately $2,010, down 3.4% in the last 24 hours, following a sharp decline from early-month highs above $2,800. This drop has triggered over $650 million in long liquidations, highlighting the intense selling pressure and market caution. Yet, prominent trader CryptoTony has spotlighted a classic “sweep and pump” scenario in his latest X update, suggesting that the current dip could be a setup for a strong upward move.
Technical Flush: How Market Makers Use Liquidity Sweeps to Reset
CryptoTony’s chart analysis on the 1-hour timeframe shows ETH dipping to sweep liquidity below key support levels around $2,030–$2,040, potentially flushing out weak hands and stop-loss orders. An upward arrow on the chart points to resistance at $2,190, implying a possible breakout if buying momentum returns. This aligns with broader technical patterns, such as a bear pennant formation noted by analysts, where a breakdown could target $1,200, but a reversal might push toward $2,500 short-term. The sweep mechanism is common in crypto markets, where prices briefly undercut support to absorb sell orders before reversing, often fueled by short squeezes.
Market context adds intrigue. Ethereum’s network remains robust, with recent data showing 470,000 ETH withdrawn from exchanges in the past 30 days, reducing available supply for selling. A major whale staked over 60,000 ETH, further locking up tokens and supporting staking yields around 4-5%. This comes amid Ethereum’s ongoing upgrades, including potential Prague hard fork discussions aimed at enhancing scalability and reducing fees, which could drive adoption in DeFi and tokenized assets.
Institutional Outlook: From Short-Term Bear Pennants to $7,000 Targets
Sentiment is mixed but leaning bullish long-term. Community polls show 80% optimism, and institutional forecasts from Standard Chartered and J.P. Morgan project ETH reaching $7,000–$9,000 by year-end, driven by real-world asset tokenization and stablecoin growth. However, risks persist: macroeconomic factors like interest rate hikes and regulatory scrutiny could extend the downturn.
For traders, CryptoTony’s call emphasizes patience—watch for volume spikes and a reclaim of $2,140 as confirmation of the pump. If realized, this could mark a turning point in ETH’s February slump, offering entry points for those betting on resilience. As always, crypto markets are unpredictable; risk management is key.
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.
