Whales play a significant role in the cryptocurrency industry, and their actions often reflect the market's future movements. For many active crypto traders, the actions of whales in the market determine their next investment moves.
Crypto whales are traders and investors who buy large quantities of cryptocurrencies. If a crypto whale decides to sell off a significant amount of a particular cryptocurrency, smaller traders may panic. This is because large-scale selling of cryptocurrency could cause a significant reduction in its price.
The same applies when a whale buys a particular cryptocurrency in large numbers. It is often a sign of renewed confidence and can play a huge role in making the price of the cryptocurrency increase massively.
According to a crypto analytics platform, ETH whales are buying large amounts of the second-highest-valued cryptocurrency, Ethereum. In fact, with the influx of investments in the Ethereum token, many analysts are predicting a huge recovery for the token. After the crypto market crash that happened last week, Ethereum looks the best to make a significant price recovery.
Lookonchain posted screenshots and information showing how much investors have been splashing on ETH. Ethereum whales' holdings are increasing massively, with nearly $100 million spent recently.
More Details About the Transactions
At the rate it is going, you might as well pack your bags, as an Ethereum bull run might be in sight. Four whales bought a total of 56,100 ETH, worth $94 million, in the last week alone. This is quite huge considering the current market situation.
Most of the Ethereum whales' holdings were around the $30 million range. Only one of them spent a meagre $3 million in purchases.
Going into more detail, the four whales were identified as smartestmoney.eth, 0x3CEE, 0X5bA3, and 0x3478. In the same way, they purchased 18,300 ETH ($30.6 million), 18,000 ETH ($30 million), 17,900 ETH ($30 million), and 2,000 ETH ($3.4 million), respectively.
Note that all these transactions happened within seven days, according to the data from Lookonchain.
"Whales are accumulating $ETH from the bottom!
4 whales accumulated 56.1K $ETH ($94M) in the past 7 days.
– 0x3CEE accumulated 18K $ETH($30M);
– 0x3478 accumulated 2K $ETH($3.4M);
– 0x5bA3 accumulated 17.9K $ETH($30M);
– smartestmoney.eth accumulated 18.2K $ETH($30.6M)," Lookonchain declared on Twitter (now X).
Whales are accumulating $ETH from the bottom!
— Lookonchain (@lookonchain) August 24, 2023
4 whales accumulated 56.1K $ETH ($94M) in the past 7 days.
- 0x3CEE accumulated 18K $ETH($30M);
- 0x3478 accumulated 2K $ETH($3.4M);
- 0x5bA3 accumulated 17.9K $ETH($30M);
- smartestmoney.eth accumulated 18.2K $ETH($30.6M). pic.twitter.com/M93Mhkpn6p
Also read: 5 Likely Scenarios That'd Take Ethereum to $100k
Will Ethereum Make a Recovery?
The market crash that happened last heavily affected the opinions and sentiments of investors in the market. The fear and greed index went straight to fear.
Over the course of several days, investors were hesitant to make further investments following the liquidation of over $1 billion. However, there has been a gradual increase in investor activity, particularly among Ethereum investors, as evidenced by recent purchases. It appears that investors are beginning to return to their typical behavior.
No one will spend nearly $100 million on something they don't believe, right? In the same way, Bitcoin has tested new levels over and over again. It has gone down the $26k range many times and bounced back. It mostly signifies that the apex cryptocurrency is taking back its hold of the market. Apparently, this is good news for other altcoins like Ethereum.