Warning: BlackRock’s Ethereum sale may spook investors

Ethereum ( ETH ) exchange-traded funds ( ETFs ) saw another day of significant outflows, with $108.31 million in withdrawals reported on Tuesday, September 23. Surprisingly, BlackRockdid not report the largest losses, losing only 3,630 ETH, worth approximately $15.1 million, however, its sale is still notable, as the fund had not sold Ethereum in nearly a week, since September 17, when it dumped over $20 million worth of the cryptocurrency, again exactly one week after selling over $45 million in ETH, according to data retrieved by Finbold from ￰0￱ Ethereum outflows.). Similarly, the announcement of Fed Chair Jerome Powell’s upcoming September 26 speech prompted traders to rotate into cash, driving ETH’s 24-hour trading volume down nearly 14%.

Furthermore, roughly $1.8 billion in long positions were liquidated in a day on September 23, forcing more than 370,000 traders out of the ￰1￱ accounted for over $500 million of those ￰2￱ a result, the asset slipped through its 78.6% Fibonacci support at $4,243 and is now testing the 200-day moving average near $3,411. What’s more, the 7-day relative strength index ( RSI ) has dropped to 24 (an oversold signal), with momentum firmly negative, as the moving average convergence divergence ( MACD ) now sits at ￰3￱ image via Shutterstock