Ethereum Price Finds Demand at 38.2% FIB Amid Market Sell-off; Buy this Dip?

This week saw a notable increase in the cryptocurrency market’s volatility, spurred on by the anticipation of the upcoming Bitcoin Halving event. The early week recovery in the market reverted quickly on the weekend as the BTC price fell to a low of $65133 on Friday. Amid this downfall, the ETH price plunged to swing low support of $3100, seeking stable support to prevent a prolonged downfall.

Also Read: Ethereum Whale Buys $121M ETH From Binance, Price Recovery Ahead?

Buyers Eye ETH’s 100-Day EMA Support for Potential Recovery

The Ethereum (ETH) coin has been under a correction trend for over a month, showcasing prices dropping from $4095 to $3100, registering a 25% downfall. However, the lower level coinciding with the 38.2% Fibonacci retracement level and currently with a 100-day EMA slope creates a high area of interest(AOI) for buyers. 

The ETH price currently trades at the $3258 mark and with an intraday gain of 0.57% it shows a long-tail rejection at $3100 support, indicating the demand pressure is intact.

For buyers to sustain above this level in the coming days is crucial to indicate the sentiment of ‘buying the dip’ is intact. The renewed recovery may surge the ETH price by 14% to break the $3730 resistance, followed by a prior swing high of $4100.

Also Read: Crypto Price Prediction 4/13: Last Drop Before the Bitcoin Halving Rally?

$106M Worth of ETH Hits Exchanges During Market Dip

Lookonchain, the on-chain data tracker reported that during a market dip, four significant Ethereum stakeholders have collectively moved 31,683 ETH to exchanges, a sum equating to approximately $106 million. 

During the market drop, 4 whales/institutions dumped 31,683 $ETH($106M).

Cumberland deposited 17,206 $ETH($57.3M) to exchanges.https://t.co/ll57RHO7aa

0xC3f8 deposited 7,976 $ETH($26.6M) to #Binance.https://t.co/mgz1QINAiI

0x1717 deposited 4,000 $ETH($13.32M) to exchanges.… pic.twitter.com/1NqtJ5eSZV

— Lookonchain (@lookonchain) April 13, 2024

The transactions saw Cumberland depositing 17,206 ETH; another entity, associated with the wallet address starting with 0xc3f8, sent 7,976 ETH to Binance; the wallet beginning with 0x1717 moved 4,000 ETH; and Alameda Research transferred 2,500 ETH to Binance. This considerable movement of funds is causing a stir in the crypto community amid market correction.

A breakdown below $3100 will favor sellers to lead to a prolonged downfall.

Technical Indicator

• Exponential Moving Average: the trend-defining 100-day EMA has acted as a dynamic support for investors during major corrections.
• Relative Strength Index: The daily RSI(80%) slope waving around the mid-line reflects an indecisive sentiment among market participants.

Related Articles

✓ Share:

Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading

The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.