Ethereum Faces Heavy Market Pressure After Founder’s $157M Transfer
Ethereum is currently battling to maintain the crucial $1,900 support level after a massive $157 million ETH transfer linked to a co-founder triggered speculation about a potential selloff. The transaction has sparked volatility across the crypto market and raised concerns among traders about short-term price stability.
According to blockchain tracking data, approximately 79,000 ETH were moved to a major crypto exchange, an action that traders often interpret as preparation for selling. Large transfers like this typically create temporary market pressure because they increase the available supply of coins on exchanges.
Ethereum Price Struggles to Maintain Critical Technical Support
The $1,900 price level has historically acted as a strong demand zone where buyers typically step in to prevent deeper losses. Over the past 48 hours, Ethereum has fluctuated between $1,920 and $1,980, reflecting increased volatility as traders react to the large wallet movement.
Market data shows that:
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Ethereum dropped roughly 7-9% during the past week
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Trading volume increased by over 28% in the past 24 hours
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Daily liquidations across ETH futures exceeded $120 million
Higher trading volume during a price drop often signals panic selling, but it can also indicate that buyers are stepping in to absorb the supply.
On-Chain Data Shows Increased Exchange Deposits
Blockchain analytics reveal that exchange inflows of Ethereum surged following the transfer. Over 110,000 ETH were deposited to centralized exchanges within 24 hours, representing one of the largest single-day inflow spikes this month.
Historically, spikes in exchange deposits are associated with short-term selling pressure. When large holders move funds to exchanges, it usually indicates an intention to trade or liquidate assets.
At the same time, on-chain metrics show that long-term holders still control a large portion of the supply. Roughly 64% of Ethereum addresses have held their ETH for more than one year, suggesting strong long-term investor confidence despite short-term volatility.
Institutional Activity Adds to Market Uncertainty
Institutional sentiment toward Ethereum has also weakened slightly in recent weeks. Digital asset investment products tied to Ethereum have experienced multiple days of net outflows, indicating that some institutional investors are reducing exposure during the market correction.
In addition, Ethereum’s total value locked (TVL) across decentralized finance platforms currently sits near $55 billion, down from its previous yearly highs but still significantly higher than most competing blockchain ecosystems.
Ethereum continues to dominate the DeFi sector with nearly 55% market share, reinforcing its role as the primary infrastructure layer for decentralized applications.
Whale Accumulation Signals Possible Market Support
Despite the recent selloff fears, several large wallets have begun accumulating Ethereum near the $1,900 price range.
On-chain data suggests that wallets holding between 10,000 and 100,000 ETH added approximately 120,000 ETH over the past week. This type of accumulation often indicates confidence from experienced investors who view price dips as buying opportunities.
Whale accumulation has historically preceded recovery rallies in Ethereum’s price cycles. When large investors absorb supply during market corrections, it can stabilize prices and eventually trigger upward momentum.
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