Leading altcoin Ethereum has struggled over the past week, shedding nearly 10% of its value as bearish sentiment grips the market. 

On-chain data shows that the top investors have reduced their holdings as the coin battles a lackluster performance. With this trend, ETH faces mounting headwinds that could drag its price below the critical $4,000 level.

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Top Investors Dump ETH, Raising Short-Term Breakdown Fears

Data from Nansen shows that the ETH balance of the top 100 largest wallets has dipped by 10% in the past week. 

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According to the blockchain analytics platform, this metric tracks the token balances of the 100 largest crypto wallets. These holders control a significant share of an asset’s circulating supply, so changes in their balances are usually markers of sentiment shift among big players.

The 10% decline in ETH’s top wallet balance confirms that these holders have been offloading the coin into the market over the past week. Such a move is a strong bearish signal, adding downward pressure on ETH’s price.

Furthermore, according to the on-chain data provider, ETH’s whale activity has also declined, exacerbating the likelihood of a dip below $4,000. 

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Over the past week, whale wallets with coins worth more than $1 million have reduced their ETH holdings by over 200%.  As of this writing, this cohort of ETH investors holds 19,577 coins valued at $66.20 million at current market prices. 

A decline in whale holdings like this us

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Author: Abiodun Oladokun