Key Points
- Ethereum (ETH) whales have been accumulating more of the coin despite a recent market dip.
- The approval of Bitcoin and Ether ETFs in Hong Kong has resulted in a bullish resurgence for Ethereum.
Despite the recent dip in the cryptocurrency market, large Ethereum (ETH) wallet holders, known as whales, have continued to acquire substantial amounts of the coin. This accumulation activity took place during a period when most cryptocurrencies, including ETH, experienced a decline.
Before the market downturn, analysts had forecasted that Ethereum was on track to revisit its previous all-time high. However, the coin unexpectedly dropped to $2,800, its lowest level since February, marking a 19% dip between Friday and Saturday.
Whales Buying the Dip
Despite this downturn, whales have seized the opportunity to buy the dip. On-chain analysis from Lookonchain revealed that a specific whale address spent $3.15 million to acquire 1,000 ETH from Binance. This whale then spent an additional $25 million to accumulate 8,300 ETH following the market dip, demonstrating the optimism and confidence of these large wallet holders.
Further supporting this trend, another report from Lookonchain showed that another whale spent 70 million USDC to purchase 23,790 ETH at $2,942 after the coin’s drawback. The analysis also suggested that this wallet holder might buy even more of the coin, showcasing the resilience and conviction of these whales amidst market volatility.
ETF Approval Fuels ETH Price Increase
The whales’ continued buying appears to be paying off, as the Ethereum market has seen a bullish resurgence, gaining over 14% in the last 48 hours. This confidence is likely due in part to the anticipated approval of spot Bitcoin and Ether ETFs by the Securities and Futures Commission of Hong Kong, which has now occurred.
The approval by the crypto regulator has further stoked bullish momentum, with the coin continuing its upward trend and currently trading above $3,200. This approval is expected to increase access to institutional demand during Asian trading hours, potentially encouraging financial giants to invest more heavily in the coin and driving up its market value.
Despite the volatility of the cryptocurrency market, the actions of these Ethereum whales underscore their unwavering belief in the coin’s long-term potential and its ability to reach new highs. In a follow-up post, crypto analyst KatieePcrypto advised traders not to yield to fear and uncertainty (FUD) during market dips, emphasizing that the best time to buy is when FUD appears, and urging traders to resist market manipulators.
