Whale Dumps 3.6M ETHFI, Takes $1.5M Fast Exit Before $0.40 Support Goes Bye-Bye

Ether.fi has been on a rough ride since getting rejected at $0.64 three weeks ago. The altcoin has been tumbling ever since, touching a low of $0.42. At press time, $ETHFI was trading below its MA at $0.44 and EMA at $0.45, showing bears are very much in control.

After $ETHFI climbed to $0.64 on March 21st, profit-taking kicked in and sellers took over. The Spot Taker CVD has been flashing red for three weeks straight, indicating sellers have dominated the market and pushed buyers out entirely.

Whales have been joining the exit party. Lookonchain reported one whale withdrew 3.6 million $ETHFI from Binance and sold it for $1.587 million in a single transaction. The whale entered and exited at the same price levels, suggesting a hurried exit driven by pure fear. Classic capitulation behavior.

Sell volume has outpaced buy volume for five consecutive days. On April 12th alone, $ETHFI recorded $3.16 million in sell volume versus $3 million in buy volume. When selling pressure sticks around this long, it weakens market structure and pushes prices lower.

The RSI made a bearish crossover and dropped to 36, deep in bearish territory. $ETHFI also dropped below its short-term MAs, confirming the downtrend's strength. The altcoin is now testing the $0.40 support level. If selling pressure keeps up, this level won't hold and $ETHFI could drop to $0.38.

To flip the script, $ETHFI needs to reclaim $0.45 along with its MA and EMA levels. That would open the path back to $0.50 and a potential rebound.

Bottom line: A whale panicked and dumped 3.6 million $ETHFI for $1.5 million. $ETHFI dropped 4%, hitting a three-week low of $0.42, breaching both MA and EMA. Bears are running the show.