Analyzing on-chain data, Sentiment shared whale and shark movements on its Twitter account today. Accordingly, the largest crypto wallets are showing intense interest in an altcoin project. That said, big exits from an altcoin are happening. Let’s look at the details together.
Biggest wallets are buying from this altcoin project despite the drop
According to Sentiment’s post, whales and sharks, which represent the largest crypto wallets, are showing interest in Ethereum. Accordingly, whales have been accumulating the leading altcoin project regularly for three weeks. However, the downtrend in ETH price continues. Ethereum’s dropped 39% over the period. According to Santiment, such moves have historically served as an important indicator of future price movements. Therefore, it indicates that we may see an upward price increase in Ethereum in the short term. In other words, the latest whale movements show itself as a harbinger of a rise in the price of Ether.
Ethereum Merge raises bullish sentiment
In fact, the crypto market has not seen the bullish price action shown last year, despite the expectations of several analysts. As we reported as Kriptokoin.com, towards the end of last year, most of the analysts said that ETH would see 10 thousand dollars. However, expectations have changed due to increasingly worrying macroeconomic conditions. Despite these concerns, Ethereum maximalists have reason that the price will rise. It will enable Ethereum to migrate to the Proof-of-Stake Beacon chain. The “Merge” upgrade that will do this will happen very soon. Once the Merge upgrade happens, the Ethereum network will be more environmentally friendly, fast and inexpensive.
Investors exit this altcoin project: Price may crash
The accumulation we see in Ethereum is not reflected in other altcoin projects. According to the latest data, traders are exiting Cardano (ADA), one of the popular altcoins. Accordingly, ADA sales are increasing and positions are being liquidated. It seems that Cardano suffers more from macroeconomic factors than Ethereum. It is possible for the price to drop 22% with the increase in sales at the ADA price. It should also be noted that the cryptocurrency is currently trading well below its ATH.
Due to selling, Cardano is heading for $0.424 with a gradual decline to the downside. This marks a new low for June. After that, a drop to $0.372 per month is also possible. This level is the last line of defense for ADA. Because the bears are likely to give the altcoin a 70% drop at this level and pull the price to $0.11. The event that will save the Cardano price from further declines will be if the US goes into a recession or the crypto market starts to move away from the global markets. If this happens, the price could rise to $0.55 to break the chains of death cross.
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