TL;DR
Ethereum whale activity has reached an all-time high, with the top 104 whale wallets holding 57% of all Ether (ETH), indicating growing confidence among large holders.
The share of ETH controlled by smaller wallets has dropped to historic lows, with wallets holding between 10 and 100,000 ETH now accounting for just 33.5% of the total supply.
The surge in whale activity comes as Ethereum’s daily average of new wallet addresses hits an eight-month high, and Ether’s price reclaims the $4,000 mark, suggesting potential bullish momentum.
Ethereum whale activity has reached unprecedented levels, with the top 104 whale wallets now holding 57% of all Ether (ETH) in existence. This marks an all-time high for whale dominance in the Ethereum ecosystem, according to blockchain analytics platform Santiment.
The accumulation trend among these large holders suggests growing confidence in the second-largest cryptocurrency by market cap.
Details of Ethereum Whale Holdings
The leading 104 whale wallets, each possessing more than 100,000 ETH, together manage approximately $333 billion in Ether. This concentration of wealth indicates that large players are positioning themselves for future gains.
Santiment notes that the increasing dominance of whale wallets is generally a bullish long-term signal, especially for a nine-year-old asset like Ethereum.
Decline in Small Wallets
While whale activity is at an all-time high, the share of ETH controlled by smaller wallets has dropped to historic lows. Wallets holding between 10 and 100,000 ETH now account for just 33.5% of the total supply, marking a record low.
Similarly, wallets holding less than 100 ETH have a supply ratio of just 9.19%, hitting a near four-year low. This decline in small wallet holdings suggests a shift in the distribution of Ethereum, with larger players consolidating their positions.
Market Sentiment and Predictions
The surge in whale activity comes as Ethereum’s daily average of new wallet addresses crossed 130,200 in December, marking an eight-month high. Ether’s price also reclaimed the $4,000 mark on December 7 for the first time since March and is currently trading at around $4,000.
Some analysts predict that Ether may surpass its all-time high during the first quarter of 2025, thanks partly to last month’s crypto market deleveraging.
Implications for the Future
The increasing dominance of whale wallets and the decline in small wallet holdings could have significant implications for Ethereum’s future. While the concentration of wealth among large holders may indicate confidence in the asset, it also raises questions about the decentralization of Ethereum.
As the market continues to evolve, the actions of these whale wallets will likely play a crucial role in shaping Ethereum’s price dynamics and overall market sentiment.
