Disclaimer: The opinions expressed by our writers are their own and do not represent the views of U.Today. The financial and market information provided on U.Today is intended for informational purposes only. U.Today is not liable for any financial losses incurred while trading cryptocurrencies. Conduct your own research by contacting financial experts before making any investment decisions. We believe that all content is accurate as of the date of publication, but certain offers mentioned may no longer be available.

With a staggering 398,891 ETH (worth roughly $1.28 billion), a huge Ethereum whale has begun to sell off a sizable portion of its holdings. Since Nov. 7, this whale has been selling 46,853 ETH for $138 million in USDC at a price of $2,920 per ETH. This whale most recently moved 12,886 ETH, or roughly $41.24 million, to an exchange wallet most likely for sale a few hours ago. 

This whale is still in possession of 352,036 ETH, which is worth about $1.27 billion. Concerns regarding the possible effect on Ethereum's price are raised by the continuous extensive selling by such a significant stakeholder. Given that Ethereum has recently risen to about $3,142, these significant transactions raise the possibility that some whales are profiting from current high prices, indicating potential resistance and a short-term price reversal. 

It is important to consider the ramifications of such a major holder selling a significant quantity of ETH. The market may experience more selling pressure when major players begin to sell off parts of their holdings, which could cause a downturn if other whales follow suit. More downward momentum may result from smaller traders and investors noticing the movements and possibly beginning to sell to lock in gains or stop losses. The initial sales price of $2,920 may now serve as a crucial resistance level.

The market may reverse course in response to increased selling by major players if Ethereum is unable to sustain its upward momentum above this point. Traders and investors must monitor any additional whale movements. The whale may be a sign of a larger trend among major Ethereum holders to sell their holdings at current prices - if it keeps selling at high levels. This situation might position Ethereum for a decline as the market adjusts to this significant surge.

Arman Shirinyan is a trader, crypto enthusiast and SMM expert with more than four years of experience.

Arman strongly believes that cryptocurrencies and the blockchain will be of constant use in the future. Currently, he focuses on news, articles with deep analysis of crypto projects and technical analysis of cryptocurrency trading pairs.