Key Points
Galaxy Digital Holdings Ltd, led by billionaire investor Mike Novogratz, has transferred 26,000 Ethereum (ETH) from Coinbase Global Inc and Binance.
This move is seen as a strategic decision indicating bullish confidence in Ethereum’s future.
The information was reported by on-chain analytics platform Lookonchain.
Galaxy Digital’s Investment Strategy
The transfer is valued at approximately $76.2 million.
This follows a substantial increase in Ethereum’s price, which has seen a 10% rise over the past week.
Etherscan data revealed a series of five transactions, with four originating from Binance and one from Coinbase Prime.
Galaxy Digital’s decision to move significant amounts of Ethereum mirrors its previous stance on the cryptocurrency.
In October last year, Galaxy Digital held long positions on both Bitcoin (BTC) and ETH, particularly on lending protocols Aave and Compound.
During that period, Galaxy Digital released a research paper.
It projected a $14.4 billion inflow for spot Bitcoin Exchange-Traded Fund (ETF) within the first year of issuance.
With the expected launch of an ETH ETF in May, Galaxy Digital’s recent ETH transaction suggests renewed confidence in Ethereum’s potential.
The United States Securities and Exchange Commission (SEC) currently has multiple applications pending for spot Ethereum ETFs.
However, the SEC’s delay in deciding on a spot Ether ETF proposal jointly presented by Invesco and Galaxy Digital has introduced some uncertainty.
The proposed ETF aims to provide professional investors with direct exposure to ETH.
At the time of writing, Ethereum is trading at $2,932.
It has seen a modest 0.6% increase over the past 24 hours, with a market cap of $352 billion.
Trading volume has surged by over 23% during the same period, indicating heightened interest among traders.
Ethereum whales are also actively accumulating the digital asset, further highlighting growing confidence in its potential.
A recent transaction saw an Ethereum whale acquiring 21,353 ETH at an average price of $2,810 per token.
Market analysts are increasingly optimistic about Ethereum’s outlook.
Calls for a rally to $4,000 are gaining traction, particularly in anticipation of the upcoming Dencun upgrade.
Crypto analyst Michael van de Poppe believes the price of Ethereum could potentially mirror Bitcoin’s gains and rally to $4,000 as Bitcoin enters a consolidation phase, shifting momentum towards Ethereum.