According to the latest on-chain data, a crypto company has redeemed and transferred a significant amount of Ether tokens from the staking platform Lido to the cryptocurrency exchange Binance. Could this hold a bearish consequence for the Ethereum price?
Is ETH Price Preparing For Further Correction?
According to data from Arkham Intelligence, digital asset management firm Metalpha redeemed 10,000 ETH (worth about $26 million) from the liquid staking platform Lido on Saturday, August 17. Following the withdrawal to the Metalpha-labeled Gnosis Safe Proxy wallet, the Ether tokens were then sent to Binance, the world’s largest cryptocurrency exchange.
It is worth keeping an eye on this type of asset movement, especially considering the direction and magnitude of this transfer and the potential impact on the Ethereum price. Moreover, these fund movements could provide an insight into the sentiment amongst institutional and large investors at the moment.
A record of recent transactions on Metalpha-Gnosis Safe Proxy wallet | Source: Arkham
As shown on Arkham’s dashboard, the ETH tokens were transferred from a Gnosis Safe Proxy wallet to a wallet on the Binance exchange. Gnosis Safe Proxy wallets are known for their multi-signature feature, which requires authorization from multiple parties to execute a transaction.
While the multi-sig nature of the sender wallet is quite interesting, the move of assets to a custodial wallet on a centralized exchange is an even bigger narrative. Typically, when investors transfer their digital assets to an exchange, it implies that they want to utilize one of these centralized platform’s services, which includes selling.
Consequently, the latest flow of Ether tokens to the Binance platform could carry bearish consequences for the Ethereum price, if Metalpha does intend to sell with this move. With the rationale behind this move unknown, it remains to be seen whether the altcoin will feel downward pressure off the back of the transaction.
Ethereum Price At A Glance
As of this writing, the ETH token has yet to witness any significant price movement in the last few hours. Instead, the Ethereum price has continued to consolidate around the $2,600 level, with a mere 0.5% increase in the past day.
Nevertheless, the second-largest cryptocurrency is in a much better position than it was less than two weeks ago. The Ethereum price has shown good signs of recovery after falling to a multi-month low of $2,200 in early August.
On the broader timeframe, though, the price of ETH seems to have lost the momentum it displayed earlier in 2024. According to data from CoinGecko, the price of ETH is still down by nearly 25% in the past month.
The price of Ethereum on the daily timeframe | Source: ETHUSDT chart on TradingView
Featured image from Shutterstock, chart from TradingView
Opeyemi es un hábil escritor y entusiasta en el apasionante y único ámbito de las criptomonedas. Si bien la industria de los activos digitales no fue su primera opción, ha permanecido absolutamente atraído desde que incursionó en el espacio hace más de dos años. Ahora, Opeyemi se enorgullece de crear piezas únicas que desentrañan las complejidades de la tecnología blockchain y comparte información sobre las últimas tendencias en el mundo de las criptomonedas.
Opeyemi saborea su atracción por el mercado de las criptomonedas, lo que explica por qué pasa la mayor parte del día mirando diferentes gráficos de precios. “Mirar” es una forma bastante simple de describir el análisis e interpretación de varios patrones de precios y formaciones de gráficos. Sin embargo, parece que esa no es la parte favorita de Opeyemi, de hecho, ni mucho menos.
Poder conectar lo que sucede en un gráfico de precios con los movimientos en cadena y las actividades de blockchain es lo que mantiene a Opeyemi en marcha. “Esto enfatiza las complejidades de la tecnología blockchain y el mercado de criptomonedas”, diría. Lo más importante es que Opeyemi considera que cualquier información del mercado es el evangelio, al tiempo que reconoce que él es sólo un mensajero.
Cuando no está haciendo clic en su teclado, Opeyemi definitivamente está escuchando música, jugando juegos, leyendo un libro o desplazándose por X. Le gusta pensar que no es leal a un género musical en particular, lo que puede ser cierto en muchos días. Sin embargo, el género Afrobeats, de rápido crecimiento, es un elemento básico en el Spotify Daily Mix de Opeyemi.
Mientras tanto, Opeyemi es un lector voraz que disfruta de una amplia categoría de libros, que van desde ciencia ficción, fantasía e históricos hasta incluso romance. Cree que autores como George R.
