Happycoin.club - The growth of Ethereum (ETH) stock on cryptocurrency exchanges indicates a high risk of a fall in the coin’s value in the medium term.

Checking the balance of exchanges showed a sharp increase in the number of Ethereum coins that can be traded. Over the past two weeks, over 242,000 ETH [$906 million at the current rate] were transferred to the crypto wallets of trading platforms.

This indicates increased trading activity on exchanges, which could lead to an increase in the level of volatility [of the Ethereum price], wrote renowned trader Ali Martinez.

Many experts, such as businessman Anthony Pompliano, reacted very positively to the news of the approval of spot Ethereum ETFs in the United States. However, Martinez believes that this event could trigger a dump in the ETH price, as traders begin to take profits from the recent increase in the price of the coin. In this case, cryptocurrency traders will use the principle of “buy on rumors, sell on news.”

After the rapid growth of the Ethereum rate in the period from May 20 to May 21, a flat appeared in the market, and over the past 24 hours the price of the asset decreased by only 0.11%. However, Martinez predicts a drop in the value of the coin to the support zone of $3462-3580. If the bears fail to break through the $3,700 barrier, then, according to Ali, an upward trend will begin, and ETH will rise in price to $3,940-4,054.