After a relief rally earlier this week, the border crypto market loses steam once again. The world’s second-largest cryptocurrency Ethereum (ETH) has tanked 6% today moving close to $1800 levels.
This shows that bears are still holding the grip and the early week’s momentum was nothing but a bear market rally. The sell-off in Ethereum and the broader crypto could intensify further looking at a large number of ETH moving to exchanges. As on-chain data provider Santiment reports:
$2.21B worth of #Ethereum has moved back to exchanges over the past week after a long-term EXODUS of coins moving off of exchanges, dating back to August of 2020. This is the most sustained upswing in $ETH being moved back to exchanges since May, 2021.
After a strong performance last year, Ethereum (ETH) has entered a massive correction along with the broader crypto market. The ETH price is already trading 50% down since the beginning of the year. Furthermore, ETH has been also losing its crypto market dominance from over 20% last year to now under 18%.
Institutional Investors Ditch Ethereum for Other Altcoins
The report from CoinShares earlier this week shows that Ethereum has been losing the confidence of institutional investors. After a heavy market crash last week, institutional investors did some bottom fishing, however, they decided to increase allocation to other altcoins at the expense of Ethereum. The CoinShares report states:
