After a significant movement of $100 million in Ethereum (ETH) last month, the Ethereum Golem Address has once again become active, transferring over 4,000 ETH to major exchanges like Binance and Coinbase. This activity is fueling concerns of another potential sell-off as ETH whale activity continues to exert downward pressure on the cryptocurrency's price.
Ethereum Golem Address Reactivated
The Ethereum Golem Address, a relic from the early days of the Ethereum Initial Coin Offering (ICO) in 2016, has once more entered the spotlight. Last month, the address moved a staggering $100 million worth of ETH, contributing to selling pressure on the ETH market. In the past week alone, the Golem address has transferred over 8,000 ETH to exchanges.
According to data from Arkham Intelligence, the Golem multi-signature address (0x7dâŠ6CF9) still holds 22,834 ETH, valued at approximately $60 million at the current price.
The Golem project, which gained traction during the ICO craze of 2016, was envisioned as a decentralized marketplace for computing power. Users could rent out their unused computational resources in exchange for native GLM tokens. The recent activity from the Golem address coincides with a broader trend of profit-taking by Ethereum whales.
Growing Concerns Amid Whale Activity
In addition to the Golem address, other major ETH whale addresses have also started moving significant amounts of Ethereum to exchanges, signaling a potential drop in institutional interest in the altcoin. Over the past month, a large ETH whale known for holding long-term positions has transferred nearly 40,000 ETH to exchanges. This surge in selling activity has made it difficult for Ethereum bulls to ignite another rally, with the price hovering around the $2,600 level for more than a week.
Despite the current market challenges, Ethereum co-founder Vitalik Buterin remains focused on future developments. He recently proposed the concept of "plurality," aiming to enhance how blockchain systems interact and strengthen the foundation of decentralization.
Ethereum ETF Outflows Add to Bearish Sentiment
Amid the increased whale activity and movements from the Golem address, institutional interest in Ethereum also appears to be waning, as evidenced by continuous outflows from spot Ethereum ETFs.
On Wednesday, August 21, spot Ether ETFs recorded their fifth consecutive day of outflows, totaling $18 million. Grayscale's Ethereum ETF (ETHE) has been the primary contributor to this trend, with $31 million in outflows just yesterday. Since its launch last month, ETHE has witnessed over $2.5 billion in outflows, much of which has likely shifted to BlackRock's ETHA, which has now surpassed $1 billion in inflows since its inception.
As the Ethereum market navigates these developments, all eyes are on whether the recent activity from the Golem address and other ETH whales will lead to further price declines or if the bulls can reclaim momentum in the coming days.
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