The second largest cryptocurrency, Ethereum, has experienced a steep decline in the crypto market price in the past 24 hours. After entering the markets at $1,400, ETH has plunged $1,200, and there are still indications of a more bearish market.
The bear movement of the coin has created FUD in its investors, traders, and users, most of which have resulted in selling off their holdings. As of the time of this report, selling pressure on the ETH network is still on a high rise, which is a bear indication.
Selling Pressure Still On The High
The past few days have been bearish and consolidating for ETH coins in the crypto marketplace. Ethereum has declined from $1,600 to trade below $1,200 in the past seven days. According to CryptoQuant, ETH derivatives and exchange influx are still increasing. The amount of ETH coins that are being moved to centralized exchange wallets keep rising, which will eventually cause more bears in the market.
ETH investors, traders, and users transfer their coins from decentralized exchanges to sell them. If this transfer of currency persists, it will exert a heavy bear on the movement and price of ETH. There are predictions that the selling pressure will reduce, but indicators show a continuous and rising inflow. ETH users will keep selling off their holdings, and the price may bear below the $1,000 level mark if the influx keeps heightening.
ETH Price Decline, Possible Relation With FTX Fall
The crumbling and fall of FTX, a high-profile cryptocurrency exchange platform, has been one of the most unexpected shocks the crypto community has experienced in months. Earlier, a top crypto exchange platform, Binance, announced plans to acquire FTX over debt and market crash.
The two crypto exchange platforms, FTX and Binance, have been among the most rival global crypto entities. Binance bailing out FTX was an imagination no one could’ve thought of. Following the fall of FTX, the whole cryptocurrency market seems affected negatively. From BTC trading below $20,000 and Ethereum below $1,200, we’re predictions no one would have ever believed.
The crash of FTX has created fear in crypto users and investors, most of which have resulted in withdrawing their funds and virtual assets.