A massive purchase of 97,276 Ethereum (ETH) has left the crypto community baffled and speculating about the implications for the market.
A massive purchase of 97,276 Ethereum (ETH) has left the crypto community baffled and speculating about the implications for the market.
PulseChain, a controversial project founded by Richard Heart, founder of HEX and its decentralized exchange, PulseX, made a massive purchase of 97,276 ETH worth $363 million, sparking speculation in the crypto space.
according to or look chainPulseX and PulseChain purchased 97,296 ETH worth $363.66 million in just two days using 11 wallets, spending a total of 363.66 million DAI at an average price of $3,738.
The stunning purchase sparked interest from traders, investors and analysts alike, raising questions about the project’s motives.
More disconcerting is the fact that some believe the Ethereum purchase was made at a local price peak.
The last two days saw a seesawing price movement of ETH due to a sharp increase in volatility. For example, on March 5, Ethereum swung between highs and lows of $3,829 and $3,205 as it experienced a dramatic price drop.
Ethereum hit a high of $3,903 on March 6, off a low of $3,503, and is currently pulling back. At the time of writing, ETH has fallen 2.66% in the previous 24 hours to $3,784, implying marginal gains on the stash of 97,296 ETH at current prices.
While the project’s motives for acquiring such a gigantic reserve of ETH are unknown, Ethereum continues to see strong demand from retail and institutional investors, who are willing to bet big on its long-term potential.
Currently, expectations are rising ahead of the long-awaited Dencun update scheduled for March 13, which will introduce proto-danksharding aimed at making layer 2 transactions as cheap as possible for users.
