Ethereum's Price Action Weakens as Whale Selling Pressure Rises

Ethereum's price action has been bearish in recent days, with the altcoin falling below the key $2,000 level. According to data from various sources, three large entities have moved a significant amount of ETH, indicating rising whale selling pressure.

The entities in question are said to be long-term holders who have accumulated their holdings over the past few months at an average price of around $3,039 per ETH. If sold, these positions would realize an estimated loss of around $11.79 million.

Furthermore, traders on major exchanges such as Binance and OKX are displaying a bearish tone, with the Long/Short Ratio declining to 0.97. This indicates that short positions slightly outnumber longs across the broader market, which could discourage participation and increase the possibility of a short squeeze if sentiment shifts suddenly.

The Average Directional Index (ADX) has climbed to 44, while the Negative Directional Index (-DI) stands at 26. Historically, elevated ADX readings during a downtrend have reflected strong trend strength rather than exhaustion, suggesting that Ethereum may be at risk of further losses in the short term.

However, if selling pressure persists, ETH could retest lower support near $1,845. On the other hand, a recovery above $2,100 may force short sellers to unwind positions, providing momentum for a broader rebound.