The price of the ETH token has been trending lower and lower against the USD since the week before the Ethereum 2.0 upgrade. Today, information on the ETH chain shows that some miners dumped a huge number of ETH tokens into circulation and this may be responsible for the price decline in the price of Ethereum (ETH).
Miners Dump $20 Million Worth of ETH Into Circulation
Hoarding has always been a common practice among miners in the cryptocurrency industry and the Ethereum network is no exception. A few months before the Ethereum 2.0 upgrade took place, on-chain data showed that Ethereum miners were hoarding over $341 million worth of the ETH tokens. After the migration, some of these miners dumped more than 16,000 ETH tokens into the market.
The 16,000 ETH tokens are equivalent to $20 Million and this dumping has led to market-wide panic selling that has dragged the price of ETH lower and lower over the last few weeks. If the dumping continues, ETH will be at risk of falling below $1,000 in the coming weeks.
Ethereum (ETH) Price Analysis
At the time of writing, the price of the ETH token was $1,313.34. The token was up by 0.80% against the USD. However, the token was well above the $1,500 level just a few days before the Ethereum 2.0 upgrade. In just seven days, ETH is down by 9.73% against the USD. Bitcoin is also trending in the same pattern as ETH.
In the last 24 hours, the token has reached a low of $1,258.71 and a high of $1,353.29. Unfortunately, there is no evidence to support a major bullish reversal anytime soon. Miners on the Ethereum network still have over 245,000 ETH left. If they decide to dump it all into circulation, ETH will suffer a catastrophic bleed that will be difficult to recover from any time soon.