Ethereum (ETH) has become a sign of hope in the cryptocurrency market, even though things are about to get worse. Investors are getting excited again because new information shows that a significant whale made some interesting moves.
Views on Lookonchain show that on May 20, a whale with 120,874 ETH, or a remarkable $370.6 million, had an immense impact on the market. A significant sum of 15,000 ETH, or about $46 million, was put into the Kraken market by the whale.
What the whale did in the past makes this story more interesting. Between August 31st and September 9th, 2022, this same group put all of their ETH into Kraken. They took out $199 million worth of ETH, leaving behind $325.3 million worth of ETH. What did you think would happen? Because they worked hard, the owner made a nice $171.5 million.
Ethereum’s Potential Price Surge
Analysts are now paying close attention to what this whale’s collection means. There is a lot of talk that this kind of large gathering could push Ethereum’s price to unimaginable heights. Optimists think that Ethereum will be able to recover the $3,500 mark soon, as long as the bullish momentum stays strong.
Even with all this hope, though, problems are still on the way. Ethereum’s network growth has slowed down, which suggests that new addresses are less interested in joining. This might help in the short term, but for long-term growth to continue, new people need to become interested again.
Additionally, Ethereum’s speed has slowed down, which means that transactions happen less often. Even though the price of Ethereum has gone up, most people who own it are still not getting any currency. As shown by the MVRV ratio, there is unrealized potential. This means that there is room for more growth before everyone starts taking gains all the time.
Still, the fact that the Long/Short ratio is going down is a bad sign because it means that fewer long-term holders are buying ETH. Short-term users may make prices more unpredictable, so the market is getting ready for chaos.
Right now, ETH is worth $3,107.09. This is a modest rise of 0.67% in the last 24 hours. The Ethereum market is still a fun place to guess and be interested as the story of the ETF plays out and whales continue to make waves.
