Key Takeaways
An Ethereum whale address that has been inactive for six months has positioned for a price drop, depositing 3.117 million USDC to short the token in a range between $2,530 and $2,670.
"A whale, inactive for six months, just deposited $3.117M in USDC to HyperLiquid and fired off orders to short ETH," on-chain analysis account Onchain Lens reported, simplifying the blockchain data for traders.
The significant deposit was made into HyperLiquid, a decentralized derivatives exchange, and immediately used to establish short positions against Ethereum. This action indicates a strong conviction from the large-scale trader that ETH's price will decline, or at least that upside is capped in the near term.
This bearish bet could introduce significant selling pressure, potentially influencing market sentiment and driving the price toward the whale's target zone. The move comes as technical indicators on the 4-hour chart show Ethereum's price at $2,369.75, holding above key support levels but facing potential resistance that aligns with the whale's short entry.
From a technical standpoint, Ethereum's price structure remains bullish on a 4-hour timeframe, but the whale's action introduces a key conflict. The price is currently holding above the 50-period Exponential Moving Average (EMA50) at $2,322.99 and the 200-period EMA (EMA200) at $2,263.00, which are acting as immediate and long-term supports.
However, the whale's short orders are placed just above the upper Bollinger Band resistance at $2,394.56. A rejection from this level could validate the whale's thesis, potentially triggering a pullback toward the EMA50. While the Moving Average Convergence Divergence (MACD) indicator has shown a bullish "golden cross," the Relative Strength Index (RSI) is neutral at 59.54, suggesting there is room for movement in either direction before conditions become overbought or oversold. The broader crypto market continues to watch Bitcoin's trajectory for directional cues.
This article is for informational purposes only and does not constitute investment advice.
