The crypto markets are under the “red” area. Most cryptocurrencies have experienced greater than 10% decline, and ETH tops the list with a whopping 29% decline in the last week, as reported by CoinGecko.
Many crypto pundits believe that Bitcoin Cash Hash War led to the entire crypto market decline and it is a nightmare for ICOs that hold a majority part of ETH.
1/ There is a big misconception that ICO companies have liquidated most of their ETH holdings. In today’s issue of Diar, we looked at all the publicly available ICO treasuries and analyzed the numbers. https://t.co/EryLsW9Ouj pic.twitter.com/j2DYajcwzQ
— Larry Cermak (@lawmaster) September 10, 2018
DigixDAO, Golem, Polkadot, Status, Filecoin and more
DigixDAO still holds about 400,000 ETH, Golem about 370,000 ETH, Polkadot holds 306,000 ETH, Status holds about 250,000 ETH, Filecoin holds 240,000 ETH, and many more ICO holds a significant stake of ETH.
It is evident that ICO projects will dump their holdings to liquidate to USD to run their projectsplans, the question is when? We saw a major ICO selloff in the previous months, and it is believed that the current ICO selloff (when it happens) will be ten times more powerful, ultimately bringing ETH to a value less $50.
Check out this public google doc that gives detailed information about all ICO holdings: ICO Holdings Doc
3,744,651 ETH is on stake for a MAJOR Selloff
Looking at the google doc for ICO holdings, the top 58 ICOs alone hold 3,744,651 ETH today. A selloff is expected soon from these projects. The steep losses are visible in the daily chart of ETH/USD.
Ethereum price is trading in a bear breakout pattern and what we have seen in the last two days might only be a glimpse of what is coming soon.
Major Trend: Strong Bearish
Support Areas: $130, $98, $53
If you have more information on ETH selloff or a different opinion, comment below.