Investor Activity and Security Issues Impact ETH Market

• Ethereum’s price dropped to $3,259 but recovered to $3,375, up 1.93%.
• An investor withdrew 6,127 ETH ($21.7 million) from Binance after profiting $20 million.
• Ethereum’s official email account was compromised, leading to unauthorized emails being sent.

Over the previous seven days, Ethereum experienced a price drop to $3,259, which sparked concerns about a potential fall beneath the $3,000 mark. Nevertheless, ETH found a level of support and, at present, is being traded at $3,375, marking an increase of 1.93% in the last 24 hours. Despite the recent increase, ETH has seen a 10.30% decrease in value over the last month. On May 27, its price was nearly $4,000, specifically at $3,957, as reported by CoinMarketCap.

During the past week, a significant investor pulled out 6,127 ETH, valued at $21.7 million, from Binance. This investor has accumulated a profit of $20 million from ETH trading over the previous two years. However, this individual has also made multiple panic-induced deposits of ETH back into Binance following price drops.

Beyond the volatility in its price, the Ethereum network has encountered security challenges. Core developer Tim Beiko confirmed that the network’s official email account was compromised. This led to a series of unauthorized emails being sent out to the mailing list. Beiko cautioned users against clicking on any dubious links.

Beiko’s most recent communication states that the foundation has successfully reclaimed control over the email list and has firmly blocked any unauthorized external access. A subsequent email was dispatched to inform subscribers about the security incident, specifically regarding an email with the subject line “Now Available: Ethereum Foundation Staking Platform.” This email was sent without authorization, and the foundation has advised recipients to delete it at once and to avoid clicking any links it contains.

Is ETH Poised to Overcome Resistance Levels?

The daily relative strength index (RSI) is at 40.01, which suggests a neutral or support level. Ethereum is currently encountering immediate support at $3,110. Should it fall below this level, the price might be driven to test the next significant support at $2,899, and a further decline could potentially bring it down to $2,650.

On the other hand, if Ethereum can surpass the $3,300 threshold, it may target the key resistance level at $3,585, followed by a possible next resistance at $3,809. The uppermost resistance range could lie between $3,900 and $4,000.