- A large wallet investor in the Ethereum network is betting that the price of ETH will drop to $400 via a put option.
- A 26,000 ETH put option order has been placed with a strike price of $400. Options expire June 30, 2023.
- For the price of ETH to break out of the downtrend, it needs to break through the resistance between $1,300 and $1,400.
Ethereum, the second largest asset by market capitalization, is in danger of falling. Based on options data, ETH could plunge in the first half of 2023. Analysts maintain a bearish outlook on the asset.
Also Read: Here’s Why Ethereum Classic Witnessed A Big Price Rebound In Hashrate Simulations
Ethereum whales are bearish on altcoins
A large wallet investor in the Ethereum network expects the ETH price to plummet to $400. Chinese journalist Colin Wu recently shared the details of a large 26,000 ETH put option with a strike price of $400 and a June 30 expiration.
This means that whales expect altcoin prices to plummet in the first half of 2023. Traders believe this is the tail management behavior of crypto whales.
Ethereum whale BloFin data
Analyst and trader @TeddyCleps claims that Ethereum has been testing and retesting resistance for eight months. ETH cannot break it continuously, the current uptrend is unsustainable and altcoins may exceed its support.
There are two possible scenarios for Ethereum. In the first scenario, the ETH price hits his $1,280 level. In the second example, $1,480 is the altcoin target.
ETH/USDT price chart
At the first All Core Developers Execution (ACDE) call, developers in the Ethereum ecosystem agreed to “provisionally” set a Shanghai timeline for March 2023. His next ACDE call will start on January 19th, when Ethereum’s Shanghai hard fork will post the network’s transition from proof-of-work to proof-of-stake.
The number of Ethereum validators is set to exceed 500,000 in 2023. Based on on-chain metrics, Ethereum’s new coin issuance rate has dropped significantly. The network has been operating under the PoS consensus algorithm for over three months, and the community expects a hard fork in Shanghai and the unlocking of ETH tokens.