ETH Price Rises as Ethereum Foundation Shifts 50,000 ETH to DeFi

• Ethereum is trading at $2,666.49, up 1.91% in 24 hours.
• Ethereum Foundation moved 50,000 ETH ($131.66M) to a DeFi wallet.

Ethereum (ETH) is trading at $2,666.49, rising 1.91% in the past 24 hours. The market cap now stands at $321.4 billion, up 1.92%. However, the 24-hour trading volume dropped 48.83% to $15.15 billion, signaling reduced activity.

The Ethereum Foundation transferred 50,000 ETH worth $131.66 million to a multi-signature wallet used for DeFi participation. The move aligns with community proposals to generate yield rather than selling ETH. This decision could reduce sell pressure and enhance Ethereum’s role in the DeFi ecosystem.

ETH Key Technical Levels

Ethereum is testing resistance at $2,762 after a recovery from recent lows. A breakout above this level could push the price toward $2,800 and eventually $3,000. However, rejection could send ETH back to $2,640, the key support level. If this support breaks, the next downside target is $2,500, with stronger demand expected in that range.

Technical indicators suggest mixed sentiment. The Relative Strength Index (RSI) at 40.18 shows ETH is approaching oversold territory but lacks strong buying momentum. The RSI moving average at 42.50 reflects weak demand.

If RSI moves above 50, it could signal renewed strength. The moving averages show a bearish crossover, with the 9-day MA below the 21-day MA, suggesting short-term downside risk. The Chaikin Money Flow (CMF) remains negative, indicating capital outflows and limited buying pressure.

ETH’s near-term outlook depends on whether it can break resistance or hold above key support. The Ethereum Foundation’s 50,000 ETH transfer could contribute to long-term ecosystem stability. However, price action remains fragile, with Bitcoin’s movement likely dictating the next big move.

Source