Ethereum whales offload $89.72 million in ETH, sparking concerns over potential price drops and increased market volatility ahead.
Key Points
- Long-term Ethereum holders sold $89.72 million worth of ETH, presumably indicating a price correction.
- Bitcoin’s new ATH of $75K sparked a rush in the crypto market, propelling some altcoins to new highs.
In recent days, Bitcoin (BTC) has reached a new all-time high of $75K, indicating a substantial spike in the cryptocurrency market. This surge has also pushed other cryptocurrencies to new highs.
Ethereum’s Three-Month High
Ethereum (ETH) has reached a three-month high, pushing long-term and inactive investors to grab profits.
SpotonChain recently revealed that three Ethereum holders began selling following recent price hikes. Specifically, two holders sold 33,701 ETH for $89.72 million. This sell-off followed a 13.75% increase in Ethereum’s price.
Whale Activity and Market Impact
The first of these whales transferred 25,000 ETH, worth $2,627 per token, to Kraken while keeping 64,450 ETH. Another whale, idle for more than eight years, sold 8,701 ETH for 24.05 USDC per token, leaving behind 2,304 ETH worth $6.48 million and profiting $30.48 million.
Following these sell-offs, another Ethereum whale with 12,001 ETH worth $34.1 million broke his eight-year silence and began selling on-chain. This increasing whale activity has sparked concerns about future sell-offs, which might drive ETH prices down.
Deposits into ETH exchanges have grown, potentially increasing supply and jeopardizing price stability. For example, Ethereum’s supply exchange ratio has increased during the previous week, indicating that investors are shifting their tokens into exchanges in Prepare to sell.
Ethereum’s inflow volume has also increased in the previous week, from a low of 306,020k to 1.07 million, indicating that since ETH prices have recovered dramatically, many investors are planning to sell to maximize gains.
Despite these considerations, ETH has been on a solid ascent over the last week, trading at $2804 at the time of writing, representing an 8.11% increase in 24 hours and a 6.31% gain on weekly charts. This current spike has propelled the cryptocurrency to a three-month high, indicating a strong upward trend.
If this trend continues, the cryptocurrency might see more rises, perhaps reaching the $3000 barrier mark. However, if recent whale sales have a big influence on the market, Ethereum may see a market correction before trying another ascent. If this dump is reflected in price charts, Ethereum may fall to $2670.
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