Ethereum Price Holds at US$2,168 as Foundation Leads Sell-Off on 3 Fronts

Ethereum Price
ETHUSD
traded at US$2,181 on April 9, sitting just 0.5% above a key technical level while facing coordinated selling pressure from three directions.

The Ethereum Foundation, the holder of the spot ETF (ETF), and whales are now simultaneously reducing their exposure. Meanwhile, two major moving averages on the daily chart are approaching each other and could form a bullish crossover. This combination places Ethereum's price in the most confusing position in April.

Symmetrical Triangle Tightens as Two EMAs Converge

Ethereum has been moving within a symmetrical triangle pattern on the daily chart since late February. This pattern constrains the price between a series of lower highs and higher lows, causing the range to narrow day by day.

The latest retest of the upper trendline was rejected. Sellers aggressively defended this level, pushing ETH back toward the middle of the triangle. This rejection is significant because it confirms the pattern remains intact and no breakout has occurred.

Exponential Moving Average
E
EMA
20-day, a trend indicator that emphasizes recent price movements, is at US$2,114 and still below the 50-day EMA at US$2,151. The gap between the two is shrinking. If the 20-day EMA manages to cross above the 50-day EMA, a golden cross signal could emerge, shifting short-term momentum to bullish.

However, with selling pressure coming from three sides, there is a risk that the 20-day EMA fails to break above the 50-day EMA and reverses downward again, reinforcing a bearish structure.

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Failure to cross within the tightening triangle pattern could increase the chances of a downward breakdown. But chart formations alone are not enough to explain why ETH is under such pressure. The selling pressure is not only technical but also structural.

Foundation, ETF, and Whales All Reduce Exposure Simultaneously

Selling pressure comes from three different sides at once.

The Ethereum Foundation announced it will swap 5,000 ETH for stablecoins via the TWAP feature on CoWSwap to fund R&D, grants, and donations.

According to on-chain tracker Lookonchain, 3,750 ETH, worth about US$8.3 million at an average price of US$2,214, has already been sold. The remaining 1,250 ETH, approximately US$2.77 million, will be swapped soon. The Foundation’s own statement says this is just daily cash management, but the market interprets any large sale by project creators as a bearish signal regardless of intent.

The ETF side is also changing rapidly. The US exchange-traded fund (ETF) Ethereum spot recorded a large inflow of 38,769 ETH on April 6. The next day, April 7, saw an outflow of 24,311 ETH. This reversal immediately negated nearly all institutional demand from the previous session within a day.

Whale behavior adds a third layer.

According to Santiment data, whale ETH holdings outside exchanges peaked at around 123 million ETH on April 8 before dropping to 122.93 million ETH, or about US$E0@ million. While this decrease seems small in quantity, the timing is crucial. Whales began reducing holdings almost simultaneously with the Foundation’s sales and ETF flows reversing.

When three unrelated groups — the Foundation, ETF holders, and whales — all dump holdings within the same 48 hours, an excess supply emerges that cannot be explained by technical patterns alone. Now, ETH’s price chart will determine how much the market can withstand this pressure.

Ethereum Price Stays 0.5% Above Critical Level

ETH is trading at US$2,181, just 0.5% above the Fibonacci 0.236 level at US$2,168. This is the most important line right now. If the daily close falls below US$2,168, it will confirm that selling pressure from three sides has overwhelmed buyers, pushing ETH into the lower half of the triangle area.

Below US$2,168, the next support levels are at US$2,102 at the 0.382 level and US$2,049 at the 0.5 level. If the price drops below US$1,995 at the 0.618 level, the lower trendline of the symmetrical triangle will become the main focus, increasing the risk of a breakdown toward US$1,823.

Ethereum’s price did dip below US$2,168 during trading, before buying pressure pushed it back above that level. This recovery indicates buyers recognize the importance of this support line. However, if a second retest occurs with an unconfirmed EMA golden cross and the Foundation still holds 1,250 ETH for sale, this support may not hold strongly. Additionally, the overall weakening market conditions pose further obstacles.

To regain upward momentum, ETH needs to stay above US$2,168 and attempt to rise toward US$2,274. If successful, the price could approach the upper trendline and help confirm the crossover. But with three active seller groups and no new demand catalysts, the chances of a price increase are more limited.

Currently, US$2,168 is the threshold separating the defense zone that offers a chance to reach US$2,274 from a gradual decline toward US$2,102 and lower levels due to pressure from three sides.
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