Despite crypto whales dumping large amounts of Ethereum (ETH), the asset’s ardent supporters remain optimistic. Recent data highlights a trend of interested parties moving large amounts of ETH, likely to sell, amid a general decline in crypto asset prices.
Moreover, Ethereum spot ETFs have seen outflows over the past eight trading days.
Crypto whales and institutions are moving ETH to centralized exchanges
This week, some notable moves caught the attention of market analysts. Spot On Chain reported that a whale wallet identified as 0x46c moved 5,088 ETH — worth about $13.66 million — from Elixir to a deposit address on Binance.
“Notably, the whale withdrew these ETH tokens from Binance at an average price of $3,393 (estimated value: $17.3 million), mostly between March 28 and April 3, 2024. If they were actually sold now at $2,682, the whale would have an estimated loss of $3.62 million (-21%) in 5 months,” Spot On Chain said.
Read more: How to Evaluate Cryptocurrencies Using On-Chain Analysis and Fundamental Analysis
In another transaction, an investor associated with wallet 0x75b transferred 8,825 ETH to Binance, worth about $24.07 million, representing a loss of nearly 23%.
At the same time, another organization allegedly associated with Amber Group transferred 6,443 ETH to Binance and Kraken. Also, another address allegedly belonging to Cumberland transferred 6,439 ETH worth $17.66 million to Binance.
Typically, cryptocurrency entities move funds to centralized exchanges for the purpose of selling them.
These crypto whales and institutions movements collectively brought about $73 million in selling pressure to the market. Amid this sell-off, the price of Ethereum has fallen slightly by 2.39% over the past 24 hours. It is currently trading at $2,682.49.
Ethereum exchange-traded funds (ETFs) also saw significant outflows, with a net outflow of $13.23 million on Monday alone. This extends the streak of outflows to eight days, totaling about $112 million.
However, the community sentiment remains overwhelmingly positive. Influential figures like Ryan Adams continue to actively advocate for the potential and future of blockchain. Adams pointed to the strengths of Ethereum and its decentralized finance (DeFi) ecosystems, foreshadowing a bright future.
“DeFi is amazing. ETH is an incredible asset. Ethereum is one of the most important systems on the planet. Vitalik’s leadership and vision are admirable. The L2 teams are absolutely crushing. DeFi is going strong. The best is yet to come,” Adams said.
Moreover, Vitalik Buterin, co-founder of Ethereum, recently expressed concerns about the viability of the platform in a tough market. He also emphasized Ethereum’s strong fundamentals and noted improvements in transaction efficiency on layer 2 solutions.
Read more: Who is Vitalik Buterin? An in-depth look at the Ethereum co-founder
The excitement is also fueled by anticipation of Ethereum’s upcoming Pectra upgrade. Scheduled for early 2025, the major upgrade is expected to strengthen both the execution layer and the consensus layer of the network. It is planned
