• Thu. Nov 7th, 2024

Dormant Whale With Over $1B in ETH Starts Selling After 8 Years Amid Ethereum Price Surge

Nov 7, 2024

Amidst a market-wide rally, an Ethereum whale who has been inactive for over eight years has made an interesting move.

According to Lookonchain’s latest tweet, this entity, which controls 28 wallets, recently began selling some of its 398,891 ETH, worth approximately $1.14 billion. On November 7th, in a span of six hours alone, 13,400 ETH, worth around $37.38 million, was sold at an average price of $2,790 per ETH.

The whale’s history indicates that they started accumulating Ethereum from Erik Voorhees’s Colorado-based crypto exchange ShapeShift back in January 2016 at an average cost of around $3.5 per ETH. Notably, all 28 wallets transferred ETH to new ones in August 2016, suggesting these addresses are likely connected and managed by the same whale, as per Lookonchain’s findings.

Experts See Monster Rally Potential in Ethereum

The recent sales have sparked curiosity and potential concern, especially given the timing of these large-scale transactions following the US presidential election. Ethereum surged by more than 8% over the past 24 hours. The crypto asset even outperformed Bitcoin and Solana during the same period.

At the time of writing, ETH was trading at $2,818, but experts suggest that it could be poised for a “monster rally.”

According to pseudonymous crypto trader Byzantine General, the world’s largest crypto asset could be poised for a major rally due to the current buildup in open interest, which he believes is heavily loaded with short positions.

Byzantine General suggests that this open interest buildup might lead to a short squeeze – a situation where traders who have bet against ETH would be forced to buy back their positions as the price rises, potentially driving ETH’s price significantly higher.

The trader hints that if this plays out, it could become one of the most memorable short squeezes in Ethereum’s history, with the potential to create a strong upward movement in ETH’s price.

Ethereum ETFs Record Strongest Inflows in Six Weeks

Following Donald Trump’s impressive win, the spot Ethereum ETFs in the US experienced a significant increase in investments, with inflows reaching a six-week high. The nine spot ETFs received a combined $52.9 million in net inflows on November 6.

The Fidelity Ethereum Fund accounted for the largest portion with $26.9 million, followed by Grayscale’s Ethereum Mini Trust with $25.4 million. The remaining seven ETFs, including BlackRock’s iShares Ethereum Trust, saw no inflows.

The post Dormant Whale With Over $1B in ETH Starts Selling After 8 Years Amid Ethereum Price Surge appeared first on CryptoPotato.


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[Source: CryptoPotato]

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