Ethereum’s native token (ETH) dropped to $950 on Uniswap — a decentralized crypto exchange — on June 13, about 20% lower than its spot rate on other exchanges.

Hourly ETH/USD price chart. Source: Uniswap

Over $130M ETH Sold in Six Hours

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The incident took place around 03:00 UTC after the whale dumped 65,000 ETH on several stablecoins including USD Coin (USDC), Tether (USDT) and DAI.

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BUT evidence noted that the whale sold his ETH holdings to pay off nearly $73 million in debt on Oasis.app, a DeFi lending platform. During the sell-off, the liquidation price of ETH dropped from $1,200 to $875.

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Borrower Oasis continued the sell-off – throwing away another stash of almost 28,000 ETH five hours after the first sell-off – to pay off another $32 million of debt. This time the liquidation price increased from $892 to $1200 as shown below.

Screenshot of the personal account of an anonymous borrower. Source: Oasis.app

As a result, the whale dropped about 93,000 ETH in just six hours. The amount is approximately $112 million at today’s ETH/USD price.

Interestingly, the total outstanding debt of the Oasis borrower was around $120 million (measured in DAI stablecoin), suggesting that the whale suffered a large loss due to slippage.

Ether Price Closes To $667 – Veteran Analyst

Ether’s trip to $950 was short, indicating adequate demand for tokens near the level. However, one separate analysis from seasoned trader Peter Brandt indicated with the price of ETH dropping to $650 in the coming weeks.

Brandt’s bearish outlook arose from a classic continuation pattern, dubbed the “descending triangle,” which resolves after price breaks in the direction of its previous trend.

As the aether fell to form a triangle, its path of least resistance was shifted to the downside.

Daily ETH/USD price chart. Source: Peter Brandt/TradeNavigator

Brandt says ETH hit the first triangle downside target of $1,268 as the price dropped 20% on June 13th. He expects the decline to continue, with ETH falling another nearly 50% to $667.

However, Ethereum’s Relative Oversold Strength Index (RSI) could lead to a sharp price reversal. Ethereum is choosing additional bounce signals from its 200-week simple moving average (200-week SMA; orange wave in the chart below) near $1,200, which is now serving as support.

Weekly ETH/USD price chart. Source: Trading View

If the price of ETH suffers an upward pullback, then the token’s interim bullish target could be around $1,450, coinciding with the 1.00 Fibonacci line on the Fibonacci retracement chart, drawn from a swing high around $1,450 to a swing low of $84.

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Conversely, a decisive close below the 200-week SMA could see ETH target $920 as the next downside target.

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