cryptocurrency market

Massive Ethereum Whale Transfer Threatens To End ETH Rally, Here’s Why


In a recent development, Ethereum’s latest resurgence (up over 12% in the last seven days) could be threatened by the actions of an Ethereum whale who could potentially end the token’s rally and further cause it to decline. 

Ethereum Whale Moves 30,710 ETH

In a post shared on the X (formerly Twitter) platform, a crypto-related account with the username ‘EmberCN’ noted that a particular Ethereum whale who had withdrawn a total of 42,311 ETH from the crypto exchange Binance since September 20 had just transferred 30,710 ETH (out of the withdrawn funds) back to Binance. 

The account further mentioned that the average ETH price at which this whale had accumulated these tokens is about $1,667, which instantly shows that the whale is currently in profit and could be looking to realize some of their gains by selling the transferred tokens on Binance. 

However, the crypto community will be more concerned with how a potential sell-off could negatively impact the market. It would add to the selling pressure on the asset, which could cause a decline, especially if there is no buying pressure to match it. 

Some might be more inclined to believe that this amount of ETH may not matter in the grand scheme of things, considering that it was recently reported that Ethereum’s ‘Billionaires’ control one-third of the token’s circulating supply. This category of persons is those who hold 1 million ETH and above. 

It is also worth mentioning that on-chain data shows that the Ethereum whale has, since the transfer of the 30,710 ETH, gone on to transfer the tokens to another Binance wallet, which has spread the ETH across different wallets. 

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Another Busy ETH Whale

In a post shared on its X platform, the analytics platform Scopescan revealed that the 1inch investment fund had sold 4,685 stETH (staked Ethereum on the Lido platform) for $8.54 million at an average price of $1,823. In the process, they realized an estimated profit of $1.28 million as these stETH were said to be bought on October 13 at the average price of $1,550.

The move may not come as a surprise to some as the investment fund, which has close ties to the DEX aggregator 1Inch, has been actively trading Ethereum since the beginning of the year. During that period, it bought a cumulative total of 17,000 ETH and then went on to take some profits by liquidating 11,000 ETH at $1,906 for $21 million, making a profit of about $3.7 million in the process.

These whale movements may have had an impact on Ethereum’s price as the token is, at the time of writing, trading at around $1,770, down over 2% in the last 24 hours, according to data from CoinMarketCap. 

Ethereum price chart from Tradingview.com (ETH whale)

ETH price picks up steam | Source: ETHUSD on Tradingview.com

Featured image from Nairametrics, chart from Tradingview.com



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