Ethereum (ETH) slipped once again below the $3,800 mark, but several factors suggest a substantial price rebound could be incoming. One such element is the reduced number of tokens stored on cryptocurrency exchanges. On the other hand, some analysts warn that the asset might be poised for an even more severe pullback in the short term.
### Shifting to Self-Custody?
Renowned analyst Ali Martinez revealed on X that 200,000 ETH have been withdrawn from crypto exchanges in the past 48 hours alone. The USD equivalent of this stash is around $770 million, calculated at current rates. This development signals that investors have been abandoning centralized platforms and moving their holdings into self-custody wallets, thereby reducing immediate selling pressure.
Earlier this week, the total amount of ETH stored on crypto exchanges dropped to a nine-year low of around 15.8 million coins, and today’s figure remains close to that level.
It is important to note that Martinez made another clarification on the matter. Just recently, he stated that 230,000 ETH tokens were moved by large holders (possibly exchanges) in the last week. These movements may include withdrawals, deposits, internal transfers, or other operations that differ from the recent outflows.
### Technical Outlook: RSI Signals Potential Surge
Separately, Ethereum’s Relative Strength Index (RSI) stands clearly on the bullish side—at least as of now. This technical analysis tool measures the speed and magnitude of recent price changes. Currently, the RSI is just north of 30, which puts it close to the oversold zone and poised for a potential surge.
Conversely, RSI ratios above 70 suggest the asset is overbought and are considered bearish for the price.
### Current Market Sentiment and Predictions
As of press time, Ethereum trades at approximately $3,800, down 5% on a daily scale and 8% over the past month.
On X, user Ted commented on the drop under $4,000 following the Fed’s decision to lower interest rates in the US and the ongoing US-China trade talks. He described the situation as “a classic bear trap or the crypto market is going way lower.”
Kamran Asghar also weighed in, envisioning a possible dip to the $3,400–$3,500 range before a renewed rally.
Meanwhile, more optimistic voices exist, such as Max Crypto, who is predicting an “up-only” scenario where ETH could explode to a new all-time high of $7,000. According to Max Crypto, the asset’s recent performance resembles the pre-pump conditions seen in May this year, which was followed by a substantial surge shortly after.
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**Related Reads:**
– Ethereum’s (ETH) ‘Negative’ Metric Might Actually Mean a Bottom Is Forming
– Over $700M in Liquidations as BTC and ETH Sink After Fed Rate Cut
– Ethereum Sharks and Whales Are Back: What Does it Mean for ETH’s Price?
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Ethereum’s price action remains closely watched by traders and investors alike, as the balance between bullish signals and bearish caution continues to shape market expectations.
https://cryptopotato.com/200k-eth-in-2-days-brewing-ethereum-rally-or-just-an-internal-shuffle/
