On Monday had reported the inhabitants of the more than 30-storey high-rise building in the district of Olympic Park POPs, cracks, and suddenly-locking doors.
The Opal Tower in Sydney was evacuated on Monday after residents reported hearing cracking noises.
Aerial footage shows fire crews setting up tents while police redirect traffic and pedestrians.
An emergency operation is now under way, with residents evacuated and an exclusion zone set up that includes the train station.
"It's not going to be done in minutes - hopefully it won't take longer than hours", Insp Wright told reporters in Sydney.
Meriton, the operator of the neighboring building, said in an email sent out to residents that there was "potential for the tower to collapse".
It remains unclear when local residents will be allowed to return
Some residents had told authorities they were anxious about their pets left behind in the building, but police said the number one priority was for human safety, the Daily Telegraph reported.
"The actual number we're not sure of, because of the time of year, because of the evacuation and people have sorted out their own accommodation and got themselves moved on".
Experts using sensitive monitoring equipment determined the $165 million building, completed in August, had moved between 1 and 2 millimeters, according to police Detective Superintendent Philip Rogerson. Other residents have reported cracks in the walls on the tenth floor.
Fire trucks in front of Opal Tower during an inspection by firefighters and engineers early on Christmas Day.
"We are aware of the concerns that have arisen with the Opal building and confirm that the builder has been notified", a spokesman from the development company told the ABC.
The building was only completed in March and opened in August, and cost $165 million to build by developer Ecove, which built numerous others nearby.
Congress fails to solve Trump border demand
The possibility of a government shutdown fed investor anxieties and contributed to another down day for U.S. stocks on Friday. Republican Senators Lamar Alexander and Marco Rubio expressed frustration with what they said was Trump's shifting position.