Due to its large developer community, broad use, and essential role in decentralized finance (defi) and other blockchain applications, Ethereum continues to hold a unique place in the market.
Thanks to Bitcoin’s (BTC) recent jump above $44,000, the global crypto markets have been experiencing bullish momentum, which has positively impacted the price of Ethereum (ETH).
As a result, a large number of early investors may attempt to sell their Ether holdings for a profit. One large whale had begun to unload its stocks.
Ethereum Whale Makes Waves: Impact On Trading
The whale, who currently holds 10,000 ETH worth over $23 million in total, has started to unload his ETH. The whale has moved a substantial 3,700 ETH deposit to the Binance platform, which is valued at $8.72 million.
Now, what does this mean for the Ethereum ocean? Well, this big whale’s actions could go two ways: On the bright side, if the whale’s selling strategy brings more stability and balance to Ethereum’s prices, it could be a good thing for the whole Ethereum market. It’s like the whale is creating smoother waters for everyone sailing in the cryptocurrency sea.
The whale, who was good at swing trading $ETH, started selling $ETH.
He/she deposited 3,700 $ETH($8.72M) to #Binance 1 hour ago and currently holds 10K $ETH($23.58M).https://t.co/TBXBbfkV1N pic.twitter.com/scbxXyJeno
— Lookonchain (@lookonchain) December 9, 2023
On the flip side, the big whale’s moves with Ethereum could create some stormy waves. If the selling spree leads to chaos, causing prices to swing wildly and making the market less predictable, that could be bad news.
Nevertheless, the overall price momentum of ETH remained unaffected by the sell-offs. As of this writing, Coingecko data indicates that ETH was trading at $2,350, up 4.1% over the previous day and 5.5% over the previous week.
ETHUSD currently trading at $2,236.7 territory. Chart: TradingView.com
Even with the present uptrend, concerns exist about the possible impact of whales’ selling pressure on the price of cryptocurrencies. Crypto researcher Ali Martinez claims that as soon as Ethereum surpassed $2,300, whales started to profit.
As #Ethereum surpassed $2,300, $ETH whales began to book profits. This surge in selling pressure might soon start to impact the #ETH price. pic.twitter.com/sdrvT2vcCe
— Ali (@ali_charts) December 10, 2023
Whales’ Influence On Ethereum’s Future
In the upcoming weeks, the impact of large holders selling might significantly lower the price of ETH. According to Martinez, a bearish scenario for the cryptocurrency would see it retest the $1,500 support level and drive ETH as low as $1,400 over the course of the next two months due to persistent selling pressure.
Meanwhile, Lookonchain’s study reveals significant swings in both the buying and selling of profiles by looking at recent whale actions on the Ethereum blockchain.
Bullish or Bearish on $ETH?
Who is buying $ETH and who is selling $ETH recently?
Are there any SmartMoneys with a high winning rate who are good at swing trading $ETH that can follow their trades?
1/🧵
Here is a thread. pic.twitter.com/BfmvO1Zfw9
— Lookonchain (@lookonchain) December 8, 2023
The Hashkey wallet, one of the collecting wallets, removed a significant 16,838 ETH (about $38 million) over the course of the last three days while simultaneously depositing stablecoins into OKX and Binance since December 5. The whale address “0x8652” made another noteworthy withdrawal, taking 22,153 ETH (or around $50 million) out of Binance since November 29.
In the world of big Ethereum players, as we keep an eye on these powerful whales, there’s a question on everyone’s mind: Is Ethereum losing its popularity? The moves of these big players leave us wondering about the future of ETH.
Featured image from Freepik
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