As Ethereum (ETH) is showing a clear price comeback, should a major player from the Initial Coin Offering (ICO) era decide to cash in, its upward trend could suffer.
Recent revelations from crypto analytics company Lookonchain indicate that a significant ICO phase holder has shifted 10,000 ETH—worth roughly $24.37 million—to the Kraken exchange, sparking questions over a possible market upheaval.
Ethereum Whale Moves
Having bought 50,000 ETH during Ethereum’s early financing, this ICO whale had been silent for two years before reappearing. Reflecting the explosive increase in ETH’s value over time, the whale’s initial investment of about $15,500 has exploded to an incredible $121.85 million.
Usually, when such large holders move money to an exchange, it signals a selling intention. Although this action would point to a possible sell-off, past data show that many whales would rather hang onto their assets in spite of changes in the market.
The prolonged crypto winter’s impact on gains has prompted whales to sell their cryptocurrency holdings in recent months. Despite the ongoing risk, this specific sell-off could potentially lessen Ethereum’s market impact.
Even if the whale decides to sell, the general price won’t change significantly because the 10,000 ETH represents a small portion of the entire Ethereum supply. Having risen by 5.15% in the past 24 hours,
Ethereum is currently trading at $2,425.45, encouraged by recent positive events like a 50-basis-point drop in U.S. Federal Reserve interest rates on September 18.
ETH is likely to withstand potential sell-offs by powerful market participants due to its robust ecosystem and favorable on-chain attitude.
