Ethereum (ETH) Price Drops 5% as ICO Whale Transfers $20 Million to Kraken

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As a researcher with several years of experience in the crypto space, I’ve seen my fair share of market volatility and price fluctuations. The recent selling pressure on Ethereum, with its price dipping below $3,400, is concerning but not entirely unexpected. With a market cap of $420 billion, Ethereum remains one of the most valuable cryptocurrencies in the world.

Ethereum is currently undergoing substantial selling, causing its price to dip below the $3,400 mark. At present, ETH is being traded at $3,436, representing a 4.23% decrease. Its market capitalization stands at an impressive $420 billion according to current figures. Insights from on-chain analysis suggest that early Ethereum ICO investors have initiated the sale of their long-held possessions.

Ethereum ICO Whale Deposits 5.5K ETH to Kraken

An on-chain data provider called SpotOnChain has announced that an early investor in Ethereum’s ICO was active just prior to the cryptocurrency experiencing intense selling pressure. According to their report, this significant player transferred a sum of 5.5K ETH, equivalent to around $19.3 million, to Kraken exchange.

As I delved deeper into the data, I stumbled upon an intriguing discovery: A single entity has transferred a staggering $35.4 million worth of Ethereum (10,000 ETH) to Kraken over the past two days. Remarkably, this participant had initially acquired 150,000 ETH back in 2015 for a modest investment of only $46,600 at that time’s rate of $0.31 per token. However, despite these recent large transactions, the whale still maintains a substantial Ethereum hoard, with a total of 139,000 ETH spread across three wallets – now valued at an impressive $476 million.

Approximately 3 hours ago, just as the price of Ethereum ($ETH) was about to take a significant dip, an individual who had previously participated in an Ethereum Initial Coin Offering (ICO) transferred 5,500 $ETH, equivalent to around $19.3 million, to Kraken, the cryptocurrency exchange.
Notably, the whale:
• received 150K $ETH in 2015 at an ICO price of $0.31 ($46.6K),
• deposited a total of 10K $ETH ($35.4M) to Kraken in the past 2 days,…
— Spot On Chain (@spotonchain) June 18, 2024

ETH Price Downside Is Limited

Over the past few weeks, Ethereum has tried the resolve of investors as its price has hovered around the same level, unable to surpass the $4,000 mark. As of now in June, Ethereum’s value has experienced a decline of nearly 15%.

Despite this development, Ethereum’s on-chain indicators remain robust. Over the past ten days, a significant withdrawal of approximately 4.1 million ETH has occurred from exchanges. According to Glassnode data, currently, there are around 12 million Ethereum tokens, which equates to about 10% of the total Ethereum supply, in centralized exchanges. This is the smallest amount of Ethereum held on these platforms since 2016.

The robust on-chain activity and the upcoming launch of spot Ethereum ETFs, as predicted by Bloomberg analyst Eric Balchunas, may bring substantial investment into Ethereum. The ETFs are projected to become available for trading by July 2. Consequently, this potential dip in Ethereum’s price might be the last one before the ETF debut and the subsequent resurgence of an uptrend.

#Ethereum is beautifully riding a bullish continuation wave.

Every time it forms a pattern, it turns bullish. We’ve got a bull flag in play right now.

— Yoddha (@CryptoYoddha) June 17, 2024

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2024-06-18 12:06