Ethereum Price Today: $2,490
- Over 117K ETH flowed out of exchanges after the Trump-Musk disagreement.
- Investors cashed in over $600 million in profits in the last two days amid growing macroeconomic pressures.
- Ethereum found support near $2,400 and is now testing the lower boundary of a key ascending wedge.
Ethereum (ETH) is trading just below $2,500 on Friday, as investors exerted net selling pressure of 117,000 ETH on cryptocurrency exchanges following a disagreement between Trump and Musk.
Ethereum Outflows Increase Amid Macroeconomic Uncertainty
Following a disagreement between former U.S. President Donald Trump and Tesla CEO Elon Musk, Ethereum experienced a significant drop, losing over 7% of its value on Thursday. Cryptocurrency exchanges saw net outflows of 117,000 ETH, the second-highest since April 24. Increased exchange outflows typically indicate higher selling pressure on the leading altcoin.
This selling pressure led investors to realize over $600 million in profits over the past two days, with coins held for 90 days to 2 years being the primary contributors to the distribution, according to data from Santiment.
While the situation appears to be stabilizing, bearish pressure persists, with ETH exchange outflows still exceeding inflows on Friday. The Ethereum options market reflects a similar shift towards risk-averse movements.
Analysts at Crypto Finance, led by Tim Beer, noted, “The sentiment has clearly become more defensive: the 10-day risk reversal has fallen to -7.27 (from +8.82 last week), and the 25-day RR has changed to -2.95 (from +2.59), indicating strong near-term demand for downside protection.”
Additionally, Ethereum exchange-traded funds (ETFs) extended their streak of positive inflows on Thursday, but with a modest net inflow of $11.26 million, aligning with bearish market signals.
Meanwhile, uncertainty in macroeconomic factors continues to weigh on the cryptocurrency market, as the 10-year Treasury bond yield rose back above 4.5% on Friday. The increase follows the addition of only 139,000 jobs in the U.S. in May, with the unemployment rate remaining steady at 4.2%.
Analysts at ZeroHedge pointed out, “While payrolls increased by 139K (establishment survey), the number of employed people (the more accurate household survey) fell by 696K to 163.273 million from 163.969 million.”
Ethereum Forecast: ETH Finds Short-Term Support at $2,400, Tests Wedge Boundary
Ethereum experienced $46.74 million in futures liquidations on Friday, according to data from Coinglass. The total amount of long and short liquidations is $25.06 million and $21.68 million, respectively.
ETH fell by over 7% on Thursday and moved below the lower boundary of an ascending wedge pattern. It rebounded at $2,400 and is rising again to test the lower boundary of the wedge and the key level of $2,530. A rejection at this level could send ETH back towards $2,400. If the $2,400 support fails, ETH could extend its fall towards the key range between $2,260 and $2,110.
On the upside, ETH could retest the critical resistance range between $2,750 and $2,850 if it overcomes the wedge’s lower boundary resistance.
The Relative Strength Index (RSI) has moved back above its neutral level after a slight dip below it on Thursday. Meanwhile, the Stochastic Oscillator (Stoch) has recovered from oversold territory, indicating a weakening of bearish momentum.
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