Ethereum Whales Absorb Selloff as Price Dips to $2,400

Ethereum's price has dropped nearly 4% to around $2,400 following the failure of the CLARITY Act in the US Senate and expectations of a Federal Reserve rate hike.

The decline triggered selling across the cryptocurrency market, but data suggests that larger investors, known as whales, are quietly buying up the selloff.

Exchange reserves for Ethereum have decreased by approximately 159,000 coins over the past five days, indicating that investors are transferring their coins to private wallets rather than selling them on exchanges.

This trend is supported by consecutive inflows into US spot Ethereum exchange-traded funds and declining exchange reserves, which could eventually support Ethereum's price if demand remains steady or increases.