Have you noticed the recent surge in Ethereum whale accumulation? These crypto giants have been purchasing Ethereum in large quantities, signaling their sustained backing of this leading altcoin. Their buying activities have notably surged in recent weeks, pushing the holdings of Ethereum’s largest private wallets to a record high.
Ethereum Whales: A Buying Spree
According to on-chain data from Santiment, Ethereum’s largest private wallets now hold a staggering 56.25 million ETH. This represents a whopping 46.8% of the total circulating supply of the cryptocurrency. Such a significant holding by these whales indicates their strong belief in the potential of Ethereum.
While Ethereum’s price has been trading in a range, it is now showing signs of recovery and building strong momentum above $2,200. Amidst these price fluctuations, Ethereum whales have been adding more ETH to their portfolios, pushing their total holdings to new highs.
Whale Withdrawals and Accumulation
Interestingly, these whales have been withdrawing their ETH from exchanges. This has resulted in the amount of ETH held in exchange-owned addresses dropping to their lowest levels in over five years. Santiment’s data reveals that a record 65.71 million ETH, or 54.67% of the total circulating supply, is now held by top addresses.
Out of this, 56.25 million ETH are held by the top 150 self-custodial wallets. Consequently, the top 150 exchange-linked wallets now hold 9.46 million ETH, nearing its lowest level since June 2018.
Why the Increased Accumulation?
The crypto industry experienced a significant price surge in the last quarter of 2023, turning the sentiment around most cryptocurrencies bullish. The continued whale acquisitions could be linked to an anticipated continuation of this price growth in 2024, especially with the looming approval of Bitcoin and Ethereum spot ETFs in the US.
The accumulation by Ethereum’s largest whales is a positive sign for the long-term price of the cryptocurrency. Their buying power helps establish price support by reducing the supply of ETH for sale.
For instance, an Ethereum whale, identified as ‘0x931’, recently purchased 21,192 ETH worth approximately $48 million at an average price of $2,265. This recent purchase brings the whale’s total buys to 79,500 ETH since January 2023, yielding $36.84 million in unrealized profit.
Meanwhile, liquid staking protocols saw steady deposits throughout 2023. DeFiLlama data shows that 12.3m ETH ($27.585 billion) are currently locked in ETH liquid staking derivatives, representing an 80% growth from 6.8 million ETH locked in January 2023.
For those interested in tracking these trends and more, the cryptoview.io application provides a comprehensive view of the crypto market, including the activities of Ethereum whales.
