8,172 Ethereum From BlackRock Stun Coinbase, Big Sell-off Ahead?

Amid the current market volatility, BlackRock, the top asset management firm, has made a notable move that could further impact the value of Ethereum (ETH). Lookonchain, a data analytics platform, revealed in an update shared with the crypto community that BlackRock has deposited 8,172 ETH on the Coinbase exchange.

Could BlackRock engage in massive Ethereum sell-off?

According to the update, this marks BlackRock’s first move to sell after it has been on an accumulation spree over the last 30 days. The asset manager has been buying Ethereum and holding despite price fluctuations within this period.

Generally, when assets are transferred to an exchange, it signals a move to sell by the holder. Hence, the market interprets BlackRock’s transfer of 8,172 ETH as a potential move to liquidate. If the asset manager goes ahead to sell, it marks a shift in investment behavior.

However, the deposit could also be a rebalancing of the portfolio or just reacting to the ongoing market volatility. Regardless of the move, it could influence the price due to the large volume they own.

Additionally, it could influence retail investors who keep a watchful eye on whales. Interestingly, Ethereum whales dumped at least 5,000 ETH over the weekend, sparking fears of a looming sell-off. If the price begins to decline, this could trigger further sell pressure and drive down Ethereum’s price on the crypto market.

Will Ethereum hold or slide further?

As of press time, Ethereum was trading at $2,264.44, representing a 0.72% decline in the last 24 hours. Despite hitting a peak of $2,285.17 in the earlier trading session, the price has witnessed a slight pullback.

Meanwhile, volume remains in the green zone, spiking by 6.65% to $24.42 billion.

Market participants will closely monitor developments, particularly the Ethereum growth rate in the coming days, even as panic-selling looms. Many are watching the technical indicators for signs of recovery before taking a stance.