Justin Sun rejects allegations of selling Ethereum, clarifying wallet transfers as inter-wallet movements to reassure market stability.
Ethereum price rebounded to $3,458 after hitting $3,127, easing investor fears of breaking below the $3,000 support.
Analysts forecast a strong Ethereum rally, with the potential to breach $3,540 resistance and climb toward $5,000 amid bullish market trends.
Justin Sun, the founder of Tron (TRX), has denied recent allegations suggesting he sold his Ethereum (ETH) holdings. Speaking via an X post, Sun addressed market concerns triggered by on-chain data showing significant Ethereum deposits to HTX. The movements sparked speculation of liquidation, raising fears of negative impacts on market sentiment.
https://twitter.com/justinsuntron/status/1871465541774491840
Ethereum Transfers Explained
Sun clarified that the substantial transfers linked to his wallets were merely inter-wallet movements rather than liquidation activities. He reaffirmed his bullish outlook on Ethereum and expressed confidence in its long-term prospects. This clarification comes as market watchers initially interpreted the transactions as a possible large-scale sell-off.
Ethereum’s price fluctuations have added to market tensions in recent days. The cryptocurrency saw its value plunge from its recent $4,000 high to a low of $3,127. This decline, fueled by a broader sell-off, raised concerns about the coin breaching its $3,000 support level. However, Ethereum rebounded to $3,458 before correcting slightly to $3,391.20, marking a 1.73% gain in the last 24 hours.
Investor Sentiment Reassured
Sun’s statements have helped calm nerves among investors, who had grown anxious over the potential market impact of the rumored sales. Market uncertainty had initially amplified fears of continued volatility, but Sun’s reassurances appear to have stabilized sentiment to some extent.
Market experts remain optimistic about Ethereum’s prospects. They note that the ETH/BTC trading pair exhibits strong signals of recovery, with the potential for a significant rally. Analysts highlight the $3,540 resistance level as a critical benchmark that Ethereum must breach to approach the $4,000 mark again. Moreover, forecasts suggest that Ethereum could climb as high as $5,000 in the coming months if bullish momentum continues.
Despite recent volatility, Ethereum’s broader metrics indicate resilience. Key technical indicators suggest that the cryptocurrency is forming a market bottom, positioning it for a strong upward movement. Consequently, analysts anticipate that Ethereum’s recovery will inspire confidence in the cryptocurrency market as a whole.
