Categories: Crypto News
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2023-09-06 10:40 AM

Ethereum Whales Dive In: South Africa Anticipates Price Surge

  • Ethereum whales, or large holders, have significantly increased their buying activity, with a notable accumulation of 260,000 ETH, equivalent to approximately ZAR 8,207.5 million, within a 24-hour timeframe.
  • Despite Ethereum facing strong selling pressures recently and trading around ZAR 31,440.10, there's growing optimism about its price potential, especially as it approaches key resistance levels.
  • Technical analyses, such as the Moving Average Convergence Divergence (MACD) indicator, suggest a bullish trend for Ethereum, with momentum indicators indicating a likely upward trajectory towards the ZAR 38,600 mark.
By Nonhlanhla

Recent data indicates that Ethereum, the second-largest cryptocurrency by market cap, is witnessing significant buying activities from its largest holders, often referred to as “whales”. Renowned crypto analyst, Ali Martinez, highlighted that Ethereum whales accumulated an astounding 260,000 ETH, equivalent to approximately $425 million (ZAR 8,207.5 million), in a span of just 24 hours.

This surge in whale activity comes on the heels of notable Ethereum transfers that took place earlier this week. Specifically, two Ethereum addresses moved a combined total of 300,000 ETH on Coinbase. These gargantuan transactions, both involving 150,000 ETH each, are considered among the most notable in 2023. In fact, such massive on-chain movements haven’t been seen since June 13. While the rationale behind these substantial transfers remains enigmatic, it’s imperative to remember that such activities may not directly influence Ethereum’s market price in the short term.

Ethereum’s Price Landscape: What’s Next?

In recent times, Ethereum’s price has grappled with substantial selling pressure, with $1,600 (ZAR 30,880) emerging as a pivotal support level. The cryptocurrency has also faced resistance around the $1,730 (ZAR 33,421) mark. Currently, as per the latest updates, ETH is hovering around $1,629 (ZAR 31,440.10), boasting a market cap nearing the $195 billion (ZAR 3,763.5 billion) benchmark.

The burning question on many South African crypto enthusiasts’ minds is whether these influential Ethereum whales can reverse the bearish sentiment pervading the market. Will their substantial purchases herald a bullish phase, or is the cryptocurrency poised for further declines?

Technical analyses, such as those presented by CoinGape, suggest optimistic prospects for Ethereum. Indicators hint at Ethereum’s potential trajectory towards the $2,000 (ZAR 38,600) price point. A positive shift is apparent, bolstered by the Moving Average Convergence Divergence (MACD) indicator which signals a bullish trend. This trend is underscored by the blue MACD line crossing over its red counterpart, with momentum indicators suggesting a move toward the average and possibly into bullish territory.

As traders in South Africa and across the globe weigh their options, it seems many are leaning towards taking long positions in Ethereum. However, they should approach with caution, keeping an eye on key resistance levels, including the 50-day EMA at $1,645 (ZAR 31,748.50), the 100-day EMA at $1,668 (ZAR 32,219.60), and the formidable 200-day EMA at $1,715 (ZAR 33,099.50). Each of these could pose potential hurdles in Ethereum’s ascent.

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Nonhlanhla

Nonhlanhla P Dube is a senior news reporter. Nonhlanhla is a student of International Relations at the University of South Africa. She reports primarily on personal finance and economics. You can contact her on: Email: nonhlanhla@rateweb.co.za

Tags: Ethereum