Ethereum Price Falls as FTX Hacker Begins Dumping ETH Stash

The Ethereum price has dropped 5% in the last 24 hours, according to Coinmarketcap. This is a reaction to the activities of the FTX hacker, as the proceeds from the hack are being dumped into the crypto market.

At the time of publication, the address associated with the hack still had more than 200,000 Ether (ETH), worth more than $23 million. This hacker’s action indicates that the price of the world’s second most valuable cryptocurrency (Ethereum) may continue to fall in the coming weeks.

The identity of the address’s owner is currently unknown, with Reuters reporting over the weekend that the Bahamas Securities Commission had seized assets belonging to FTX’s Bahamas Unit.

However, according to Chainalysis, a blockchain forensics firm, some funds were indeed stolen from FTX.

Ether Price Prediction as FTX Hacker Starts Dumping

The current Ethereum price chart is bearish, with the relative strength index (purple line) dropping from 40 to nearly 30 in the last few hours.

It is expected to fall further over the next few days, and it may only rise again after it has dropped close to 20.

ETH’s 30-day moving average (red line) is simultaneously falling further below its 200-day moving average (blue).

Again, with around 200,000 ETH on the market, this is unlikely to stop until it falls even further. Unconfirmed reports have circulated regarding who may have been responsible for this severe financial crime involving this stolen cryptocurrency.

While many individuals are speaking of the FTX ‘hack’ as if it were a routine security breach, others believe it was the result of insider activity. This speculation is backed by reports that CEO Sam Bankman-Fried had a “backdoor” into customer funds that allowed him to move deposited cryptocurrency without alerting the system’s automatic reporting mechanisms.

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