 ▲ Ethereum (ETH) / ChatGPT-generated image |
Ethereum (ETH) is showing a precarious trend as large-scale transfers by a co-founder coincide with asset reductions by whales, bringing the $1,800 support level close to collapse.
On March 8 (local time), a crypto-focused outlet reported that news of a massive transfer by Ethereum co-founder Jeff Wilke, combined with technical bearish signals, has significantly heightened market uncertainty. Wilke recently deposited approximately 79,176 ETH, worth about $157 million, into the cryptocurrency exchange Kraken, sending shockwaves through the market. Large investors moving assets to exchanges are typically interpreted as a sell signal, adding substantial downward pressure on Ethereum’s price.
On-chain data from whales further supports these concerns, with a clear trend of reducing Ethereum holdings. The amount of Ethereum held by whales outside exchanges has recently declined by about 80,000 ETH, nearly matching the scale of Wilke’s transfer. The outlet noted that such movements by whale groups are fueling market fear and triggering a chain reaction in which short-term investors close positions in anticipation of further declines.
Technical indicators also suggest that Ethereum is losing upward momentum and preparing for a bearish reversal. Although the price has recently marked higher highs, the Relative Strength Index (RSI) has formed lower lows, creating a bearish divergence that warns the uptrend may be nearing exhaustion. If the current $1,800 support level breaks, a bear flag pattern could fully activate, potentially leading to further declines to $1,750, then $1,600, or in a severe scenario, as low as $1,320.
For Ethereum to halt its decline and achieve a rebound, it must break through the strong resistance level at $2,100. The $2,100 zone is viewed as a critical threshold for a short-term trend reversal; only a decisive breakout above this level could invalidate the bearish structure and lay the groundwork for a move toward $2,400. While some long-term holders have stepped in to buy at lower levels and defend support, the broader market sentiment remains subdued after six consecutive months of declines.
The Ethereum market is currently passing through a phase of extreme volatility, shaped by shifts in whale holdings and macroeconomic uncertainty. As correlation with Bitcoin (BTC) price movements strengthens and independent bullish catalysts remain scarce, investors are advised to respond cautiously. Market participants should closely monitor whether the $1,800 support level holds and track whale wallet movements to prepare for the possibility of further corrections.
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