Ether (ETH) price is experiencing a rocky Q3, as new data reveals that an Ethereum ICO whale with 1 million ETH has been moving major amounts to exchanges over the past month.
The launch of the spot Ethereum ETF hasn’t triggered a positive price reaction either, as net total inflows remain largely negative due to Grayscales’ ETHE outflows.
Whale bought 1M ETH at $0.31 in ICO
The given Ether whale address was “born” 3,300 days ago when it received 1 million ETH at a price of $0.31, according to Lookonchain. Over the past month, however, the wallet has carried out 17 transactions, all deposits to the OKX exchange. The transaction value increased gradually, with the last three deposits coming at 5,000 ETH.
The 48,500 ETH deposited during this time is worth roughly $154 million, an average of $3,176 per ETH. That is a whopping 1,024,416% return on investment (ROI) from its initial price of $0.31.
Currently, the whale’s wallet balance is 15,600 ETH. If the “selling spree” continues, another $41 million in potential sell pressure could be added in the next few days.
Additionally, further selling was observed at the hands of Block Tower Capital. The investment firm sold 9,232 ETH worth around $25 million.
Looks like #BlockTower Capital sold 9,232 $ETH ($24.8M) through #FalconX, #Cumberland, #Wintermute, and #B2C2Group.https://t.co/8xgOWrI1yA pic.twitter.com/zGk1Q71eHE
— Lookonchain (@lookonchain) August 13, 2024
ETH keeps leaving crypto exchanges
While selling from whales and institutions has been bearish for ETH prices, Ether exchange reserves paint a different picture. According to CryptoQuant data, the total number of ETH held in exchanges actually dropped from 17.1 million to 16.8 million in August.
The drop was particularly noticeable between Aug. 5 and Aug. 13, when Ether’s price dropped below $2800, indicating likely accumulation near the recent bottom. This drop is part of a larger trend that has seen crypto exchange reserves dropping by 8.5% since Jan. 1.
Ether price rejected at $2,750
Since the Aug. 5 market rout, Ethereum fared better than many other altcoins. However, it has struggled over the past 12 hours to break above a key level.
On the 4-hour chart, ETH/USD is converging narrowly at the end of an ascending triangle pattern. For a bullish continuation, Ether needs to close positively above the neckline at $2,750, increasing its chances for a retest at $3,000. However, $2,350-$2,200 could get retests as support as well, if ETH loses its position below $2,500.
ETH price is currently down 3% over the past 12-hours after a rejection at its most recent high of $2,750.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
