Ethereum price rally weakens

• The number of ETH whales is declining
• Bearish divergence on Momentum indicator 

Ethereum has been trading in a rising wedge formation since mid-January, painting higher highs while the momentum declines, forming a bearish divergence on the Momentum indicator. Today price bounced off the lower limit of the formation  and is currently testing important resistance at $1780.00. However if sellers will manage to regain control here, then another downward impulse could be launched. A break below the lower trendline could provoke a more significant correction towards $1475.00 or even $1255.00 handle.

Also a dwindling number of ETH whales supports bearish outlook. The number of investors which own between 100,000 to 1 million ETH declined by 1.25% between February 13 and 15 and currently stands at 159. A further decline in the number of these holders could have a negative impact on Ethereum prices.