Ethereum Price Analysis: Why Vitalik Buterin Sold MOODENG after ETH Hit $2,400

The crypto market has shown signs of recovery, bolstered by promising economic data from the U.S. Non-Farm Payroll (NFP) report released on October 4.

According to the report, the U.S. economy added 254,000 jobs in September 2024, reducing unemployment to its lowest levels in six months. This positive data has led to expectations of more dovish monetary policy from the Federal Reserve, following a 50 basis point rate cut earlier in the month.

Historically, crypto assets like Ethereum have responded favorably to such macroeconomic conditions, leading to the recent price surge.

As Ethereum consolidates around $2,400, the market is watching closely for the next move, with technical indicators suggesting a possible breakout. The price of ETH is currently hovering above key support levels, which could attract further buying interest.

Vitalik Buterin Sells MOODENG To Fund TornadoCash Campaign

While Ethereum’s price dynamics are driven by external factors, Ethereum co-founder Vitalik Buterin has drawn attention with a series of high-profile transactions.

On October 5, Buterin sold $341,000 worth of various meme coins, including MOODENG, DEGEN, KABOSU, NEIRO, and USDT, converting them into 140.67 ETH.

According to data culled from SpotOnChain, the meme coins, were quickly swapped for Ethereum, sparking speculation about Vitalik’s motives.

Buterin’s actions, however, appear to have a broader motivation. Shortly after selling these meme coins, Buterin sent 100 ETH (worth approximately $242,000) to support the “Free Alexey & Roman” campaign, which raises funds for the legal defense of TornadoCash developers Alexey Pertsev and Roman Storm.

This public gesture of solidarity highlights Buterin’s ongoing support for decentralized privacy solutions.

Buterin’s latest sales come just a week after another wallet associated with him deposited 649 ETH (around $1.72 million) to Paxos on September 29. Over the past 11 days, the same wallet had deposited a total of 1,473 ETH (around $3.8 million) to Paxos, indicating a potential strategic reallocation of assets.

Ethereum’s recent 6.88% rally after the NFP data release has caught investor attention, with the price bouncing from $2,309 to $2,414. Historical patterns suggest October often brings favorable price movements in crypto markets, leading many to anticipate a continued upward trajectory.

Ethereum Price Analysis: $2,400 Rebound Could Catalyze More Gains

Currently, ETH is consolidating above the $2,400 level, a crucial point that could signal a larger rally in the coming days.

First, the Bollinger Bands a volatility indicator, shows that ETH is trading near the lower band at $2,257, suggesting the asset is nearing oversold territory. A bounce from this area could push the price toward the midline at $2,517, which is the next resistance level. If ETH breaks above this, the upper band at $2,776 could come into play, representing a stronger resistance.

The CCI, currently at -63.96, indicates bearish momentum, but it’s nearing the -100 level, where reversals typically occur. This aligns with the Bollinger Band analysis, reinforcing the view that ETH could see a rebound from these levels. On the downside, the support level stands at $2,257. If the price drops below this, Ethereum could face a deeper correction toward $2,000.

In summary, Ethereum’s price is at a pivotal point. If it holds above $2,400 and breaks the $2,517 resistance, further gains are likely. However, a break below $2,257 could trigger more bearish action. Keep an eye on these key levels as October unfolds.