- Whale Alert, a prominent cryptocurrency tracker, has reported the awakening of a dormant Ethereum wallet, which contains nearly 2,000 ETH worth $5,876,786.
- This comes after the Ethereum Foundation reactivated an ancient wallet, transferring 2,000 ETH valued at approximately $6.5 million to a new blockchain address.
- Meanwhile, Ethereum’s overall whale activity has seen a significant increase, with approximately 139,560 new ETH wallets created in a single day.
Discover the recent surge in Ethereum whale activity and the reactivation of dormant wallets, as well as the impact these movements could have on the Ethereum market.
Ethereum Foundation Reactivates ICO ETH
The Ethereum Foundation has reactivated an ancient wallet that has been dormant for nine years. This wallet, which received funds during the Ethereum initial coin offering (ICO), transferred a substantial 2,000 ETH, valued at approximately $6.5 million, to a new blockchain address. In the past, the market has reacted negatively to the Ethereum Foundation releasing large amounts of Ethereum. This recent transaction is not the only significant movement from the Foundation observed this week, as another wallet linked to the Foundation sold 100 ETH for 291,267 DAI via the Cow Protocol.
Surge in Ethereum Whale Activity
Following the reactivation of the Ethereum Foundation’s wallet, a dormant pre-mined wallet containing 1,969 ETH, worth $5,876,786, was also awakened. This wallet had been dormant since 2015, the year following the end of the Ethereum ICO. This awakening coincides with a significant increase in Ethereum whale activity. According to cryptocurrency trader and analyst Ali Martinez, approximately 139,560 new ETH wallets were created on a single day, April 29. This surge in activity comes after Ethereum experienced a significant decline of 12.16%, falling from $3,243 to the $2,960 zone, followed by a small rebound of 3.87%. This dip provided an excellent buying opportunity, leading to the creation of nearly 140,000 new wallets and expanding the Ethereum network.
Future Outlook for Ethereum
Prominent crypto analyst Michael van de Poppe has suggested that Ethereum could drop to the $2,500 zone for the most optimal play. However, he does not believe that the crypto markets are likely to experience such a heavy correction, stating, “Most of the downside is already in.” As the Ethereum market continues to evolve, the reactivation of dormant wallets and the surge in whale activity could have significant implications for Ethereum’s price and the broader cryptocurrency market.
Conclusion
The recent awakening of dormant Ethereum wallets and the surge in whale activity highlight the dynamic nature of the Ethereum market. While these movements have the potential to impact Ethereum’s price, analysts suggest that most of the downside is already factored in. As Ethereum continues to evolve, these developments provide valuable insights for traders and investors navigating the cryptocurrency market.
