The recent announcement of new tariff plans has left investors in distress, leading to the worst day for US stocks since 2020. The fear of further escalation and economic fallout has gripped the investors, impacting the crypto markets as well. Bitcoin and Ethereum have been trading within a consolidated range, with technical indicators pointing towards a bullish outlook for the price rally of Ethereum. However, despite these signs, whale investors do not appear to be confident in the market.
A significant institutional wave is looming, indicating a potential storm that could shake up the entire market. On-chain data reveals a large influx of ETH being deposited into exchanges in the past 24 hours, raising concerns about mounting pressure on the ETH price. Grayscale, Blackrock, Wintermute, Andre Cronje, and James Fickle have all made significant ETH deposits, while another whale recently acquired a large amount of ETH, potentially impacting the price stability.
As Ethereum faces pressure from institutional transfers and whale accumulation, the future price action remains uncertain. The ETH price has been consolidating within a descending range, with no clear signals of a bullish reversal. While the token is nearing the end of this consolidation phase, technical indicators do not show any signs of a bullish divergence, raising concerns among investors about the next price movement.
In the daily timeframe, the ETH price is approaching the tip of a falling wedge pattern, which could trigger a breakout towards the immediate resistance level. The Accumulation/Distribution indicator suggests that distribution of the token is ongoing, and the price may rise once accumulation resumes. However, the RSI remains within lower bands, indicating a potential drop in the strength of the rally.
Despite the uncertain market conditions, Ethereum price volatility is expected to increase over the upcoming weekend, presenting a potential buying opportunity for investors. In the long term, ETH price remains under bullish influence, with the possibility of reaching a new all-time high. It is crucial for investors to stay informed and monitor market developments closely to make informed decisions in this volatile environment.
