Ethereum Price Reverses Below $1,700 as Galaxy Digital Dumps $106M ETH for Solana

Etheruem price retraced below the $1,700 mark on Tuesday, April 22, as bulls struggled to contain an initial 3% rally.

Galaxy Digital pivots to Solana amid Ethereum headwinds

Galaxy Digital has exchanged roughly $106 million worth of Ethereum (ETH) for Solana (SOL), according to blockchain data analytics platform, Lookonchain.

The trades occurred over the past two weeks on Binance, suggesting a significant portfolio reshuffle away from Ethereum.

This move comes as ETH price fell below $1,700 on Tuesday, after intially rallying to a new monthly peak of $1,725 around noon CET.

The firm’s transactions reflect a broader shift in institutional sentiment. Market data shows decreasing Ethereum holdings among large entities, reinforcing the narrative that confidence in ETH may be waning. Galaxy’s portfolio’s reshuffling coincides with a continued decline in Ethereum’s decentralized exchange volumes.

Ethereum dominance declines as scalability challenges persist

Ethereum’s market dominance has dropped to under 7%, marking its lowest point in years. Analysts cite ongoing scalability issues, high gas fees, and lagging Layer 2 adoption as contributors to its weakened position in the crypto ecosystem.

While Ethereum continues to lead in developer activity and protocol TVL, competitors like Solana are gaining traction due to faster transaction speeds and growing ecosystem support. Galaxy Digital’s decision to increase its exposure to SOL could signal broader adoption shifts within institutional portfolios.

Ethereum Price Forecast Today: ETH Faces Resistance Near $1,725, Pullback Towards $1,600 Could Follow

Ethereum price forecast today shows a strong intraday surge, closing at $1,701 after tapping a high of $1,725. However, the move stalls just beneath the upper Bollinger Band at $1,672, suggesting overextension.

The wide Bollinger Bands reflect heightened volatility, and the current candlestick piercing the upper band hints at a short-term overbought condition. Price may retrace toward the midline around $1,607, or further to the lower band near $1,542 if selling pressure intensifies.

Momentum indicators lend additional insight. The MACD histogram has flipped bullish, and the MACD line has crossed above the signal line, indicating short-term upside momentum. Yet, this follows an extended bearish cycle through early April, and the MACD reading remains below zero—an indication that the broader trend still lacks strength.

If Ethereum sustains above $1,725, a breakout toward $1,800 is possible. However, a failure to close above that level would confirm a resistance rejection. In that case, expect sellers to target $1,600 in the near term, especially if market volumes fail to confirm the breakout.