The Ethereum Foundation just sold $30M in Ether — But will ETH price fall this time?
Ethereum Foundation's previous big sale of ETH
preceded a bear market,
but there's little evidence that such sales affect
the general market trend.
On May 6, Ethereum Foundation
transferred nearly $30 million in Ether to the Kraken cryptocurrency exchange, causing jitters in the market about a potential selloff event.
ETH price fell
4.8% to $1,900 on the day, but the decline
has been negligible so far amid a wider recovery trend.
Ether's price
recovered modestly to $1,920 on May 7 after testing
its 50-day exponential moving average (50-day EMA; the red wave) near
$1,850 as support a day ago.
Notably, the 50-day EMA
has capped Ether's downside attempts so far in 2023, barring the early March selloff that saw the price briefly falling
below the red wave. Meanwhile, testing it as support
has prompted the ETH price to pursue a breakout above $2,000.
As a result of this support,
ETH bulls may attempt to take the price
above $2,000 again.
