IMPORTANT POINTS:
- An anonymous whale has amassed over $125 million worth of ETH, showing strong support for Ethereum.
- The Ethereum whale has withdrawn a total of 64,400 ETH from exchanges and delegated 57% of that amount.
- Despite a difficult month of regulatory scrutiny and SEC lawsuits, the cryptocurrency market has seen a change in sentiment and increased altcoin adoption.
Although the last month has been filled with fear, uncertainty, and doubt (commonly referred to as FUD) due to regulatory scrutiny from the United States Securities and Exchange Commission (SEC), it appears that sentiment around the cryptocurrency market is becoming more positive.
Against this backdrop, an anonymous Ethereum whale shows strong support for Ethereum (ETH) accumulating over $125 million worth of this digital asset since June 8, according to on-chain data reported by Lookonchain.
The Ethereum Whale Withdrawal Sequence
Since June 8, 2023, the Ethereum whale address “0x882…49732” has withdrawn a total of 64,400 ETH ($125M) from exchanges and then delegated 36,640 ETH ($71M), representing 57% of the entire transaction. It should be noted that the most recent withdrawal was made this Friday (14), for a total of 7,300 ETH ($14M).
Withdrawals were made in the last 44 days, as follows — according to Ethereum blockchain data on etherscan:
- 20,000 ETH on June 8;
- 6,500 ETH on June 23;
- 8,100 ETH on June 27;
- 15,500 ETH on June 30;
- 7,000 ETH on July 13;
- 7,300 ETH on July 14.
The importance of large transactions
These large transactions are important because a whale is generally known to have a wallet address with high balances of a specific cryptocurrency, whose actions could directly impact the price of the coin or shape general sentiment around the digital asset.
By delegating the majority of such a valuable withdrawal stream, this anonymous whale sends a clear message that there are potentially no plans to sell ETH anytime soon, which is a strong sign of support for the Ethereum network as a whole.
It is notable to mention that in order to become a validator and generate returns, the user needs to invest (or delegate) a minimum of 32 ETH, which is then locked in a smart contract. Subsequently, the validators are monetarily rewarded for their participation.
As of this writing, ETH is trading at around $1,935, according to the CoinMarketCap price index.
The market pivots after a difficult month
The first days of last month (June) were filled with negative sentiments due to the SEC lawsuits against two of the largest cryptocurrency exchanges in the United States: Binance and Coinbase.
However, the cryptocurrency market pivoted on Thursday (13) after an apparently calm start to the week from Monday to Wednesday. A court decision in the lawsuit of SEC v. Ripple caused a change of sentiment for all crypto assets.
As a result, most altcoins rallied as Bitcoin Dominance fell below 50% of total market capitalization after weeks of BTC taking the lead in price performance against its competitors.
