Key Insights
- Ethereum price prediction signals risk as whales offloaded 90,000 ETH.
- Spot Ether ETFs record outflow after Citigroup’s bearish Ethereum forecast.
- Analysts highlight Ethereum to remain bullish above $4,400.
Ethereum price trades under $4,500 despite analysts hinting at a surge after the Fed rate cut.
While the broader investor sentiment on the crypto market seems to improve, the latest spot Ethereum ETF outflows, whale liquidations, and bearish year-end Ethereum price prediction by Citigroup caused traders to consider downside risks.
Investors Eye Ethereum Price Prediction as Whales Dump $0.5 Bln in ETH
Ethereum whales liquidated some of their holdings in the last 48 hours, defying the broader market sentiment.
This has led many to watch the latest Ethereum price prediction for cues on the potential future movement of the crypto.
Meanwhile, Ether whales holding 1K-100K Ethereum sold 90,000 ETH worth nearly $500 million in the last 2 days, Ali Martinez reported on September 17.
It indicates profit-taking, portfolio rebalancing, or shifts in market positioning by large holders.
While it doesn’t signal a trend reversal, such concentrated selling around $4,500 adds short-term selling pressure on Ethereum price.
Meanwhile, traders and investors must keep an eye on liquidity levels, exchange inflows, and price reactions to gauge whether it is a temporary adjustment or the start of a downturn.
Spot Ether ETF Outflow After Citigroup’s Ethereum Price Prediction
Spot Ethereum exchange-traded funds recorded $61.70 million in outflows on Tuesday. BlackRock and Fidelity sold more than $68.40 million in ETH.
It likely happened after Wall Street giant Citigroup’s Ethereum price prediction to end the year at $4,300. The bank claims ETH price could fall to $2,200 in a bearish case based on Ethereum’s on-chain value amid layer-2 growth.
This is in contrast to others, such as Standard Chartered, which predicted Ethereum price to rally above $5,000 amid a rise in corporate Ethereum treasuries.
Tom Lee’s Bitmine Immersion and Joe Lubin’s SharpLink Gaming continue to boost their total Ethereum holdings.
Moreover, Citigroup also predicted an Ethereum price rally toward $6,400 in the bullish case. The firm based its analysis on institutional demand for spot Ethereum ETFs.
Analysts Remain Upbeat on Ethereum Price Uptrend
Popular analyst Michael van de Poppe expects to see Ethereum price holding the crucial area near $4,400. Holding this inflection point is crucial for bulls as it could trigger massive long position liquidations.
In case the area is lost, Michael van de Poppe expects a fall below $4,000 to buy the dip. “If ETH price dips in any of these ranges, then I’m quite happy to be buying the dip,” he noted.
Also, analyst Crypto Tony pointed out $4,770 as the level needed for a massive rally. The upside momentum gets invalidated if Ethereum price falls below $4,350.
ETH price has continued to trade below $4,500 for the last two days, with the price currently trading at $4,490. The 24-hour low and high were $4,428 and $4,524, respectively.
Trading volume stayed muted, with an 18% increase in the last 24 hours.
Meanwhile, in the daily timeframe, the price is holding just above the 50-SMA, and comfortably above 100-SMA and 200-SMA at the time of writing.
Whereas, the Relative Strength Index (RSI) slides to 54, signaling potential for a downside move in the absence of bullish catalysts.
CoinGlass data revealed mixed reactions in the derivatives market. At the time of writing, the total ETH futures open interest jumped 0.5% to $63.31 billion in the last 24 hours.
ETH futures OI on CME and Binance fell more than 1% and 1.50% in the last 4 hours ahead of an expected 25 bps Fed rate cut decision, respectively.
This signals that derivatives traders remain cautious amid diverging opinions in the market.