Ethereum Whales Accumulate During Market Downturn
Ethereum, one of the leading cryptocurrencies, is currently facing a price decline amidst broader market turmoil. The escalating tensions in the Middle East have added to the uncertainty in the crypto industry, leading to a bleed in the value of most cryptocurrencies, including Ethereum. However, while retail investors are panic-selling, on-chain data reveals a different story.
According to Lookonchain, a prominent on-chain transaction tracker, Ethereum whales are taking advantage of the market downturn to accumulate assets. One whale, identified as “0x4359,” has withdrawn a significant amount of ETH from Binance in the past five days, totaling $202.6 million. This whale’s latest withdrawal of 37,018 ETH worth $120.7 million occurred just hours ago.
In contrast, there are also whales selling off their holdings. For example, whale address “0xaF35” deposited 6,700 ETH worth $23.65 million into Binance before the price drop. Additionally, Lookonchain noted four whales dumping 31,683 ETH worth $106 million during the market downturn.
The accumulation and selloffs from different whale cohorts highlight the diverse trading strategies among large holders of Ethereum. While some are capitalizing on the low prices to accumulate more assets, others are opting to sell off their holdings.
The current total crypto market cap stands at $2.261 trillion, with Ethereum trading around the $3,000 price level. The ongoing accumulation from whales could potentially shift the price action in favor of the bulls, pushing Ethereum above $3,000 and towards $3,200. However, continued selloffs could lead to a further price decline, causing Ethereum to break below $3,000.
As tensions in the global market begin to ease, the behavior of Ethereum whales will play a crucial role in determining the future price trajectory of the cryptocurrency. Stay tuned for more updates on this developing story.
