Ethereum price is struggling to sustain the uptrend above $1,800 as the network’s co-founder, Vitalik Buterin, continues to move his ETH holdings to Coinbase. What does this mean for the future of Ethereum?
Ethereum price is facing a stiff resistance at the $1,800 level as investors are becoming wary of the co-founder of the network, Vitalik Buterin, who has been transferring his ETH holdings to Coinbase for unknown reasons.
The uncertainty around these transactions is weighing on the bullish sentiment and could trigger a sharp correction if the support at $1,740 fails to hold.
Vitalik Buterin’s ETH transfers raise eyebrows
According to a report by a Chinese reporter, Vitalik Buterin has recently transferred 100 ETH to Coinbase, worth around $181,000 at the time of the transaction. This is not the first time the co-founder has moved his Ethereum holdings.
He has previously stated that he has not sold any Ether since 2018 and that he mainly donates his ETH to charity, non-profit organizations, and other projects.
However, some members of the crypto community are not convinced by Buterin’s explanation and are speculating that he might be preparing for something bigger.
For instance, @JasonWavesRider (a user on X (formerly Twitter) suggested that Buterin could be financing another project or that he might have some personal reasons for moving his ETH.
The lack of transparency regarding Buterin’s transactions is creating a sense of distrust and anxiety among Ethereum investors, who are unsure about the future of the network and its native token.
This could have a negative impact on the Ethereum price, which is already facing a strong selling pressure at the $1,800 level.
Ethereum price outlook: A break or a bounce?
Ethereum price has been trading in a narrow range between $1,740 and $1,800 for the past few days after failing to sustain the momentum above $1,800.
The Relative Strength Index (RSI) on the daily chart is retreating from the overbought territory, indicating that the buyers are losing strength and that a bearish reversal could be imminent.
If Ethereum’s price breaks below the support at $1,740, it could trigger a massive sell-off that could push it down to the next support levels at $1,680 and $1,600.
On the other hand, if Ethereum’s price manages to bounce back from the support at $1,740, it could resume its uptrend and challenge the resistance at $1,800 again.
A decisive break above $1,800 would signal that the bulls have regained control and that Ethereum price is ready to test the next resistance levels at $1,900 and $2,000.
However, this scenario would also depend on how Buterin’s ETH transfers affect the market sentiment and whether there are any positive catalysts for Ethereum in the near future.