NEIRO ETH Price Rebounds 8% After Vitalik Buterin Dumps 17B Tokens

Neiro ETH price took a nosedive in the wee hours of Monday morning after Vitalik Buterin dumped a huge bag of his allocation in the open market. The token is, however, recovering after going down 30% after the news dropped.  Vitalik’s dump comes amid heightened market panic and sell pressure that saw Ethereum drop to a low of $2,254.

Vitalik Dumps His Neiro Airdrop

Ethereum co-founder Vitalik Buterin sold 17.1 billion NEIRO ETH, a community takeover token, early Monday morning following increased selling pressure in the crypto market. On August 3, the Neiro ETH team announced that Vitalik was their largest token holder holding 4% of their token supply, probably to mimic Shiba Inu’s marketing style. 

We are the people's $Neiro, on the people's chain, @ethereum.

And a little fun fact: @VitalikButerin is currently our largest holder. (4% of supply, ~$130k value as of the time of this post)

— Neiro on Ethereum (CTO) (@neiroethcto) August 3, 2024

Less than 48 hours later, Buterin sold the entire bag in a single-sale trade for 44.42 ETH ($241,620).

The NEIRO ETH price now struggles to regain bullish momentum amid the general market downturn and the negative publicity caused by Buterin’s actions. Before this dump, NEIRO ETH enjoyed listings on AscendEX, BingX, and LBank, among other exchanges.

NEIRO ETH Price About to Enter Negative Price Discovery

The current trend for NEIRO ETH price is downward within a descending channel, indicating bearish momentum. The recent candlesticks show consistent lower highs and lower lows, typical of a descending channel. There are no strong reversal patterns visible currently. 

The 50-day EMA is at $0.1385, above the current price of $0.1203, further confirming the bearish trend. The key support level is around $0.10, as indicated by the lower boundary of the descending channel. 

If NEIRO ETH price action breaks below this support, the asset may crash 85% against the USDT and 50% against Wrapped ETH. There is a resistance level around the 50-day EMA at $0.1385 and higher at $0.14, which coincides with the upper trend line of the falling channel.

The Relative Strength Index (RSI) is at 44.58, which is close to the oversold territory. This suggests that the price might bounce in the short term, but the overall trend remains bearish. The Chaikin Money Flow (CMF) is at -0.01, indicating a neutral position with slight selling pressure. This signals that the price may struggle to maintain the current support. 

The daily volume is at 1.02 million, showing that there has been a steady amount of trading activity. There is currently no significant spike, indicating a strong move in either direction. 

Nevertheless, the increase in volume, coupled with the falling NEIRO ETH price, is a bearish signal that investors are offloading their bags. If the price breaks above the falling channel, it may signal market strength and invalidate the bearish thesis. However, this is unlikely to happen in the short term, as the market remains fearful.

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