Ethereum whales are ramping up their activities on the blockchain as they eye a significant level. This time, the recent spike in their activity has been in the form of transactions. These deals that carry as little as $100,000 USD, making it possible for only the big business owners to be behind these deals, are on the rise.
Mostly, Ethereum whales have stepped up their activities after the ETH price increase over the past week. The first rally was seen after the cryptocurrency broke above $1,900, and as it continued to hold this level, there was more consistency among the whales.
IntoTheBlock data It shows that ETH whales have doubled the number of their transactions over the course of a few days. This increase saw their total transactions rise from 2,120 to 3,230 in two days. This jump in the number of transactions translates into an increase of more than 54% in just 48 hours – from July 2nd to July 4th. In a 7-day period, nearly $20 billion has been moved by ETH whales.
ETH whale transactions cross 3,000 in two days | Source: IntoTheBlock
However, while this jump is significant in itself, it is not unusual for Ethereum to see such a large number of large transactions. For example, at the end of June, total whale transactions also rose above the $3,000 level.
Ethereum’s bearer base is made up of a large number of whales when compared to its biggest competitor, Bitcoin. While the owners of the latter whale make up only 11% of the total whale base, Ethereum whale wallets account for 42% of their total wallets, according to data from IntoTheBlock. Thus, the large volume of large transactions occurring in a short period is not out of place.
How Ethereum whales can affect the price
A large number of whale transactions can have significant impacts on the price of coins like Ethereum depending on what the holders of those coins intend to do with them. If these transactions holding at least $100,000 worth of coins are for sale, the price of ETH will see a downward trend.
However, since ETH price remained relatively stable and maintained its hold on the $1900 support, it is likely that these whales are just moving their coins without selling. Additionally, these on-chain transactions do not indicate a good volume of ETH flowing towards centralized exchanges, which gives further credence to the fact that these whales do not move their coins for selling purposes.
Ethereum, on its own, hasn’t had the best of days even though its trading volume is down significantly from Monday. It currently stands at $6 billion, down 27% from Monday’s figures. However, its price is flat with a slight gain of 0.1% as the coin is trading at $1,963.
ETH price trending at $1,962 | Source: ETHUSD on TradingView.com
Featured image from iStock, chart from TradingView.com