Image default
Cryptocurrency

Whales Snub Ethereum: Bitcoin’s the Catch of the Crypto Sea


Key Takeaways:

  • Bitcoin price slides, but whales remain determined.
  • Ethereum holders prefer staking, but outflows continue.
  • ETH/BTC risks another 8% slide.
Whales Snub Ethereum: Bitcoin’s the Catch of the Crypto Sea!

YEREVAN (CionChapter.com) — The newly erupted war in the Middle East brought more uncertainty to the markets, already tarnished by inflation and continuous interest rate hikes. Bitcoin also failed its safe-haven test again and slid 3% to $27,200 on Oct 11, as the risk eversion narrative dominated the markets.

Bitcoin whales determined while Ethereum outflows continue

However, the whales continue accumulating and’ buying the dip,’ according to data from on-chain tracker Glassnode. Conversely, Ethereum whale holdings drastically drained year-to-date.

Bitcoin whale accumulation steady, while Ethereum whales unload their stash. Source: Glassnode.com
Bitcoin whale accumulation is steady, while Ethereum whales unload their stash. Source: Glassnode.com

Arguably, the decline in whale holdings is accompanied by the rise in ETH tied in smart contracts and should not be the basis for a whale exodus FUD. However, geopolitical tensions, the oil price jump, and unfavorable market conditions could still harm Ethereum more than Bitcoin.

CoinChapter reported that institutional investors remain a key factor in the asset’s potential price increase. But, as of early October, they are unlikely to park their cash in Ethereum. Moreover, ETH already saw an outflow of $114 million year-to-date, while Bitcoin’s inflow stood at $168 million by late September.

Furthermore, the ETH/BTC price action continues to slide, justifying bearish expectations.

ETH/BTC loses key support and risks another 8% slide

ETH/BTC exchange rate dropped 7% month-to-date, reaching 0.057 on Oct 11. The price action also breached a significant support line, relevant since July 2022, hinting at more pain ahead for the leading altcoin.

Ethereum/Bitcoin price action. Source: TradingView.com
Ethereum/Bitcoin price action. Source: TradingView.com

Declining NFT on-chain activity and increasing L2 usage, which reduces gas consumption and, in turn, organic demand for ETH, exacerbated the bearish expectations in Q4, 2023. In addition, the DeFi sector activity has been low, which could also lead to further ETH/BTC decline.

If another leg down occurs, the target price for ETH will stand at 0.053 BTC, or another 8% lower than the current value.



Source link

Related posts

Avalanche Launches Durango Upgrade To Streamline Interoperability,…

Marine Savard

Bit Index AI: How It Helps You To Trade More?

Marine Savard

Types And How To Avoid Them

Marine Savard

Why SushiSwap 15% Gain Could Be The Beginning Of An Uptrend

Marine Savard

Veax Labs Officially Launches Advanced NEAR-Based DEX on Mainnet, Introduces Major LP Incentive Program | The Bitcoin News

Marine Savard

Bitcoin Is Trading at Discount and Will Rally to $100k: Bloomberg Strategist

Marine Savard

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More