Ethereum Whale Moves 54,721 ETH Worth $161 Million in 32 Hours—Is a Major Market Shift Underway?

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Trent Alan

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Trent Alan

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Trent has a background and education in journalism and communications, with two decades of experience editing and writing on a diverse array of topics. In recent years, however, he has shifted his...

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February 19, 2024 17:13 EST

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A massive transaction alerted crypto analysts to an Ethereum whale rapidly accumulating large amounts of Ethereum (ETH) Monday. Over the course of 32 hours, a single entity purchased and moved 54,721 ETH, a transaction totaling an estimated $161 million. This activity suggests preparation for a potential surge in Ethereum’s market activity.

Blockchain tracking firm Lookonchain reported the initial sighting of the Ethereum whale movements. According to their analysis, funds originated from major cryptocurrency exchange Binance and several decentralized exchanges (DEXes).

Is Justin Sun the Ethereum Whale?

Lookonchain has proposed a connection between the Ethereum whale activity and Justin Sun, who founded Tron and serves as an advisor to the crypto exchange HTX. The firm highlighted large withdrawals from HTX coinciding with the whale’s transactions, noting Sun’s capability to facilitate such sizable purchases.

1/ In the past 32 hours, someone bought a total of 54,721 $ETH ($154.4M) from #Binance and #DEX.

Who is this guy? Could be #JustinSun?

Let’s dig deeper.👇 pic.twitter.com/6yh4GRZnws

— Lookonchain (@lookonchain) February 19, 2024

“30 minutes ago, a wallet ‘TWGHNc’ suspected to be JustinSun deposited 50M USDT into Binance,” Lookonchain reported. “This wallet also withdrew 500M USDT from HTX yesterday.”

The firm further noted a sequence of fund transfers between HTX and Binance matching the timeline of the ETH purchases. The potential connection to Sun is currently just an educated guess based on this transactional data.

Ethereum Price on the Rise: Could It Reach $3,500?

Following the Ethereum whale’s substantial purchase, ETH price has stayed on an upward trend. Ethereum has been steadily climbing this past week, even crossing the $2,900 threshold on Monday.

Market analysts attribute this rally to factors like institutional investment in Bitcoin ETFs, which often positively correlates with Ethereum price action. Additionally, a spike in trading volume suggests renewed investor interest in ETH.

This rising trading volume could potentially drive Ethereum prices even higher throughout the coming week. Typically, increased volume fuels investor confidence and improves market liquidity, allowing traders to easily enter and exit positions with minimal price impact. Another compelling indicator is the major decrease in ETH held on exchanges. Investors appear to be transferring their ETH into long-term storage or staking contracts, effectively reducing the circulating supply and increasing its potential value.

Considering these key trends, bullish market sentiment prevails, leaving many wondering if Ethereum’s upward trajectory could propel it towards the $3,500 target in the foreseeable future.

Large-scale buying by known market movers can sometimes prefigure more major shifts in crypto price and sentiment. Whether this latest whale activity triggers broader investor interest or an ETH price jump is unclear. The transactions have brought heightened attention to the cryptocurrency market as many investors anticipate Ethereum’s price trajectory and its whale’s next move.