- An Ethereum ICO participant emerged after eight years and deposited thousands of ETH into Kraken exchange on July 19th.
- This investment by the ICO participant may cause increased selling pressure in the Ethereum market. This increased selling activity can affect supply-demand dynamics.
- According to Glassnode, the number of non-zero balance addresses recently reached an all-time high of 102,913,926.
An investor who participated in the Ethereum ICO activated thousands of Ethereum purchased at $0.31; Investors should be cautious!
Whale, One of Ethereum’s First Investors, Executes ETH Transfer
According to recent data, an Ethereum ICO participant emerged after eight years and deposited 61,216 ETH ($116 million) into Kraken exchange on July 19th. The participant had acquired 61,216 ETH at an ICO price of approximately $0.31 in Ethereum Genesis.
This investment by the ICO participant may cause increased selling pressure in the Ethereum market. This increased selling activity can affect supply-demand dynamics and potentially lead to a decrease in ETH price in the short term. The future behavior of this whale will play a significant role in ETH’s price movement.
The fear caused by the whale’s investments has not affected the confidence of retail investors in Ethereum. According to Glassnode, the number of non-zero balance addresses recently reached an all-time high of 102,913,926. As the number of retail investors holding Ethereum increases, their vulnerability to whale behavior also increases.
Will the bears be proven right?
At the time of writing, there was relatively low selling pressure on Ethereum. This was indicated by the relatively low MVRV ratio. The low MVRV ratio indicated that only a few ETH addresses were profitable at the time of writing, suggesting that most addresses had less incentive to sell their holdings.
Additionally, Ethereum’s high Long/Short ratio implied that there were more long-term holders than short-term holders. These addresses are less likely to sell their ETH. Despite these factors, the percentage of short positions against ETH increased from 48% to 52.31% in the past few days, according to data. This increase in short positions may be due to recent whale behavior.
