- Ethereum price gained almost $100 over the last three days.
- The MACD indicates sustained bearish market momentum.
Between June 15 to June 22, the Ethereum price dropped after encountering resistance at the 20-day SMA and fell from $2,580 to $1,880. During this drop, ETH managed to flip the parabolic SAR from positive to negative. The 200-day SMA has managed to put the brakes on this downward plunge.
Ethereum Price Bounces Up From 200-day SMA
Over the last three days, the Ethereum price bounced up from the 200-day SMA and went from $1,880 to $1,975 – gaining almost $100 in valuation. The MACD still shows sustained bearish market momentum, so don’t expect any dramatic jumps in price.
Image: ETH/USD daily
Looking at IntoTheBlock’s IOMAP, we can see that the Ethereum price has healthy support at 200-day SMA ($1,900). Previously, at this level, over 540,000 addresses had purchased almost 8.25 million ETH tokens.
Here is How StakeHound Lost $72 Million Worth Of Ethereum
StakeHound recently announced that it is suing crypto-custody firm Fireblocks for the loss of 38,178 ETH that has been rendered inaccessible due to the firm's negligence. According to a press release, StakeHound learned about the incident on the 2nd of May 2021. But all efforts to resolve the issue were not successful, leading StakeHound to begin proceedings with the Israeli High Court on the 22nd of June.
The loss is attributed to a series of errors on the part of Fireblocks. Fireblocks reportedly did not generate their private keys in a secure production environment. Furthermore, they did not include the private keys required to decrypt their 2-key shares in the backup. Somehow, the firm had managed to lose both keys. In other words, currently, there is no way to access over 38,000 Ether in staked coins.
It is still unclear how exactly a crypto-custody firm managed to lose both keys with access to the coins. However, StakeHound blames Fireblocks for the loss. The firm told the Israeli court that it was most likely a negligence issue on the part of an employee. It also pointed out that Fireblocks did not make any backups to the wallet keys.
In the filing, StakeHound stated:
This is a human error committed by an employee of the defendants who worked in an unsuitable work environment. Did not protect or backup the defendant’s private keys needed to open the relevant digital wallet. And for no apparent reason, the keys were deleted. Preventing the plaintiff’s digital assets from being accessed.
Fireblocks has denied these claims. CEO Michael Shaulov pointed out that the company has never lost any keys before. He said that all keys with the company backup automatically. And the keys continuously back up every 10 minutes to three different locations.
Fireblocks added that the fault was not from them as they were not contractually obligated to store part of the keys. The company said that the keys were generated and stored outside of the Fireblocks platform.
According to Fireblocks, they discovered the loss when performing a routine disaster drill in April of 2021. They realized that the keys could not be decrypted. Since they had no obligation to backup the keys, they had advised StakeHound to backup the keys with a third-party disaster recovery service. Within a few hours, the Fireblocks team had concluded that there was no third-party backup made.
Staking on a pool in which users have no access to the private keys puts them at risk of losing their coins. And that is what is going to happen if the companies are not able to decrypt the wallets. Without access to the private keys, the coins do not belong to users.
Ethereum Price Is Expected To Reach These Levels
The Ethereum price needs to break back into the $2,000 psychological level and break past the $2,200 resistance barrier to continue the upwards trend.