Following the approval of a spot Ethereum ETF (Exchange Traded Fund) in the United States by the Securities and Exchange Commission, there has been a surge in investor and trader interest, leading to a notable price increase in recent days. Amid this ongoing interest, the on-chain analytics firm IntoTheBlock recently posted on X (formerly Twitter) that the accumulation of Ethereum (ETH) by crypto whales has significantly increased in recent months.
Whales accumulation heightened
IntoTheBlock also highlighted that currently, 41% of the total ETH supply is held by addresses each possessing more than 1% of the total supply. This marks a notable increase from the 36% recorded at the beginning of the year. This trend indicates growing confidence among large holders in the long-term potential of Ethereum.
Whale accumulation in ETH has intensified. Currently, 41% of the $ETH supply is held by addresses with more than 1% of the total supply, up from 36% at the start of the year. This trend highlights increasing confidence among large holders. pic.twitter.com/GEvADO13k5
— IntoTheBlock (@intotheblock) May 31, 2024
The increase in whale accumulation suggests that major investors are increasingly bullish on the cryptocurrency, potentially anticipating future price appreciation and broader adoption of Ethereum. As whale activity often influences market trends, this surge in accumulation could have significant implications for the future dynamics of Ethereum’s market.
Currently, Ether is trading near $3,780, and in the last 24 hours, it experienced a modest 1% price increase. The current market stability is influenced by the potential upcoming FED rate cut and the massive transfer of 140K Bitcoin by Mt. Gox. There is a high probability that the market will soon rise.
Ethereum price performance analysis
Looking at ETH’s performance over a longer period, it experienced only a 0.7% upside move in the last 7 days due to the aforementioned reasons. However, in the last 30 days, Ether’s price has increased by 31%, primarily due to the ETF approval.
According to expert technical analysis, ETH is looking bullish and heading toward the $4,080 level, which is its previous high. After a massive price surge of over 23%, ETH has been consolidating in a tight range between $3,700 and $3,900 for the last 12 days. If Ethereum gives a daily candle closing above the $3,900 level, we may experience a significant upward momentum in the coming days. Conversely, if ETH gives a daily candle closing below the $3,630 level, a significant sell-off may occur in the coming days.
Besides Ethereum, ETH-based altcoins are also gaining attention from investors and traders. Meanwhile, top cryptocurrencies like Bitcoin, Solana, Binance Coin, and others are currently struggling to gain momentum.