Ethereum traded below $1,700 on Wednesday as on-chain data showed more than $122 million in ETH moving off institutional venues into newly created wallets, even as technical conditions remain firmly bearish following a decisive break of February’s support zone.
Institutional Withdrawals Move $122M in ETH Off Exchanges
Data from blockchain analytics firm Arkham Intelligence identified three large Ethereum withdrawals totaling approximately $122.29 million from FalconX and Kraken. Two of the recipient wallets were newly created with no prior transaction history.
The venue mix is notable. FalconX is a regulated institutional prime brokerage, while Kraken is one of the industry’s longest-standing exchanges. The use of fresh wallets for withdrawals of this size is often associated with operational security, separation of treasury from trading activity, or preparation for longer-term custody rather than near-term selling.
Arkham’s dataset also shows that one of the addresses involved is currently holding an unrealized loss of about $9.1 million from prior ETH purchases. Despite adverse price action, that address increased its off-exchange holdings, suggesting continued accumulation rather than position reduction.
Price Action: ETH Loses Key Support, Bears in Control
ETH remains under pressure after breaking below the February support area near $1,800–$1,900, a zone that had underpinned multiple recovery attempts earlier in 2026. The drop accelerated once the $1,850 level failed, sending price to a recent low near $1,500 before stabilizing around $1,620.
From a technical standpoint, Ethereum has posted a sequence of lower highs and lower lows since the May peak near $2,400, resolving a multi-week distribution range to the downside. Price currently trades below the 50-day and 100-day moving averages, while the 200-day average near $2,450 remains well above the market—an alignment that indicates bearish momentum across major timeframes.
Key Levels and Market Context
- Immediate support: The recent low near $1,500. A sustained break below could invite further downside.
- First resistance: The former support band around $1,800–$1,900. Reclaiming this zone would be needed to improve structure.
- Trend context: The prevailing downtrend remains intact unless ETH can recover above key moving averages and convert broken support back into support.
Why It Matters
Large withdrawals to fresh wallets during a period of weak price action are frequently interpreted as accumulation or a shift toward custody by sophisticated participants. While this does not negate the current bearish technical setup, it highlights a divergence between on-chain behavior and price—an important dynamic to monitor if ETH can begin to stabilize and reclaim former support levels.
Sources: Arkham Intelligence (on-chain data), TradingView (price data).