Giant Ethereum Whale Continues Its Profit-Booking Spree On Every ETH Rise

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As a seasoned analyst with over two decades of experience in the cryptocurrency market, I have witnessed numerous whales and trends come and go. However, the current moves by the Ethereum whale are particularly intriguing. The consistent pattern of selling at peak prices and moving ETH to centralized exchanges before significant price drops is a strategy that I’ve not seen often in my career.

A significant investor, often referred to as an “Ethereum whale,” has persisted with its strategy of cashing out during the ongoing surge in Ethereum prices surpassing $2,600. Just recently, this savvy Ethereum investor, known for its patient approach (diamond hand), sold approximately 15,000 ETH from its portfolio, earning a profit of around $40 million.

Giant Ethereum Whale Cashes Out At Right Time

Based on data from blockchain analysis platform SpotonChain, a large Ethereum holder, often referred to as the ETH Whale, has been transferring its Ethereum holdings to centralized exchanges prior to notable drops in ETH’s market price. This trend follows Ethereum co-creator Vitalik Buterin shifting 400 ETH to the cryptocurrency tumbler Railgun.

For approximately four weeks, a significant Ethereum holder (ETH whale) moved a combined 25,000 ETH, equivalent to around $74 million, to the cryptocurrency platform Kraken on two distinct instances.

Over the past 12 hours, I’ve observed a significant transaction involving 15,000 Ether, equivalent to approximately $39.7 million, based on an average price point of around $2,645 per ETH. Following this notable activity, the Ethereum price has experienced a 2.5% decrease, now hovering near the $2,591 level. The current market capitalization stands at a staggering $311 billion.

On July 25 last month, a significant whale sold 10,000 Ether (ETH), equivalent to approximately $34.7 million, with an average transaction price of around $3,420. This sale was followed by a decrease of 7.6%. However, despite these substantial sell-offs, this Ethereum whale currently retains a total of 41,639 ETH, valued at about $107 million. This holding represents an estimated profit of around $131 million, which is a remarkable 86% higher than the original purchase price.

This giant whale keeps depositing $ETH to CEX ahead of steep price drops!
Over the last month, a whale transferred approximately 25,000 ETH (equivalent to around 73.9 million dollars) to Kraken exchange on two separate instances, with these transfers taking place just prior to notable price declines.
• 15K $ETH ($39.7M) at $2,645 11 hours ago, before a 2.5% drop.
• 10K $ETH…
— Spot On Chain (@spotonchain) August 21, 2024

Data from blockchain indicates that a large investor (referred to as a “whale”) bought approximately 96,639 Ether during the cryptocurrency winter in September 2022 from Coinbase exchange. This whale held onto the Ether until March 2024. In the bull market of this year’s March, the whale decided to sell around 55,000 Ether, which equated to approximately $176 million at an average selling price of $3,199 per Ether.

ETH Faces Selling Pressure

The cost of Ethereum is undergoing persistent selling, as it forms “death cross” patterns on its technical charts and repeatedly fails at the $2,600 price point. As per well-known trader Peter Brandt, Ethereum will likely maintain a defensive stance unless it manages to surpass the $3,050 mark.

1. The intriguing charts that we’re following right now are Bitcoin and Ether.

— Peter Brandt (@PeterLBrandt) August 20, 2024

Conversely, Ethereum’s gas fees have plunged to their lowest point in five years, resulting in reduced burning of ETH coins and an increase in ETH supply – a development that could negatively impact its market activity. Additionally, there has been a consistent outflow of Ethereum ETF shares for the fourth consecutive trading day, according to Farside Investors’ data.

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2024-08-21 09:25