Justin Sun, the creator of the cryptocurrency TRON (TRX), initiated a withdrawal of 80,251 Ethereum (ETH) tokens this past Wednesday, as reported by Lookonchain. This move has raised concerns among ETH investors, sparking fears that Sun might be preparing to offload a significant amount of ETH, potentially causing its value to plummet.
Up to now, Sun has taken out approximately 43,000 ETH, moving them to Binance. The current market value of the withdrawn Ethereum stands at about $70 million based on data from blockchain monitoring services.
Justin Sun(@justinsuntron) applied to withdraw 80,251 $ETH ($132M) on Oct 4.
So far, he has successfully withdrawn 43K $ETH ($70M) and deposited it to #Binance.https://t.co/6wvQuDabVE pic.twitter.com/UWvjytM6nN
— Lookonchain (@lookonchain) October 7, 2023
Recent movements show ETH striving to maintain its value above the $1,645 mark, especially after it slipped below this level on October 4th, 2023. At the moment, the cryptocurrency has surged past its 20-day EMA line.
If Ethereum can sustain its value above this critical point in the upcoming two days, its price might escalate to around $1,755 in the succeeding week, provided the demand remains strong. In a highly optimistic forecast, ETH could potentially soar to nearly $1,880 in the weeks ahead.
However, if Ethereum fails to maintain above the $1,645 mark, it may fall below its 20-day EMA, currently at $1,639.54. Such a decline might put Ethereum in jeopardy of further devaluation, possibly going down to around $1,555.
Investors should be aware of a possible positive technical indicator, as a bullish flag seems poised for activation. The daily RSI is on the verge of surpassing the daily RSI SMA line, hinting at increasing buying momentum. This development may set the stage for a bullish short-term outlook, with Ethereum potentially reaching the $1,755 resistance. Confirmation of this positive trend might be an RSI crossover accompanied by Ethereum closing above the $1,645 mark.
