#Exchange ETH Supply Drops  Ethereum Massive Sell: $570 Million Outflow in 48 Hours! What’s Next for ETH?

Ethereum ETHUSD has not shown any price action in the last two weeks, even as the broader cryptocurrency market is trending higher.

This lull in ETH’s price comes amidst a period of intense selling activity. These factors suggest a cautious short-term outlook for Ethereum as the week progresses.

Ethereum Investors Are Hedging Their Profits

Recent data suggests significant selling pressure on Ethereum. Investors have sold more than 225,779 ETH coins in the last 48 hours. This volume represents a supply of approximately $576 million, reflecting a rapid pace of selling.

Such widespread selling suggests waning investor confidence. Many appear to be hedging their profits amid skepticism that prices will rise further. This behavior is often indicative of risk aversion in the short term.

Technical indicators are increasing the bearish momentum around Ethereum. The Moving Average Convergence Divergence (MACD) is showing a bearish crossover after nearly seven weeks of bullish momentum. This shift usually precedes a price drop or increased volatility.

The loss of bullish momentum is weakening Ethereum’s price support. Without fresh buying interest, ETH could face further downward pressure as investors adjust their positions in response to technical signals.

ETH Price Stuck

Ethereum is currently trading around $2,561, holding the critical support level around $2,500. The altcoin king has been holding this threshold for a while now, but its ability to hold it is being tested.

If bearish pressures continue, Ethereum could fall below $2,500 and head towards the next support level at $2,344. However, if buying interest returns, ETH could consolidate between the $2,500 and $2,654 resistance levels for a while.

For the short-term bearish outlook to change, Ethereum needs to break out of the resistance around $2,654. A sustained move beyond this point could push the price towards $2,814, rekindle investor optimism, and support further gains.