Lookonchain: Large ETH Deposits May Lower Ethereum Price

Lookonchain analysts have spotted a potential sell-off signal for Ethereum, pointing to two large ETH deposits by crypto whales on exchanges Binance и OK for a total of more than $71 million.

As a rule, crypto whales and investors holding large amounts of cryptocurrency prefer not to store them on centralized exchanges, especially given the risks of custody. Therefore, moving significant amounts of assets to such platforms may indicate plans to exchange them for other digital assets or to enter fiat.

Cryptokits often sell their crypto assets after a significant rise or because they expect another fall. Sometimes they try to provoke a rollback, which allows them to accumulate the same tokens at lower prices.

Knowing this, retail investors often monitor the actions of crypto whales and institutional investors to anticipate their actions and avoid being caught off guard during significant price movements. This is why Lookonchain warned about large ETH deposits on exchanges Binance и OK.

Despite the large deposits, according to TradingView, Ethereum traded in a narrow range from $3721 to $3545. Today, the ETH rate fluctuated around $3600, up 2% following the rising Bitcoin. The weekly dynamics are down 4%.

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