Following the crypto market crash last week, Ethereum whales look to be gearing up for a recovery as they accumulate ETH. This accumulation trend is very telling of what these large investors expect the market to do next, which could serve as an indication of what’s to come.
Ethereum Whales Buy Over 56,000 ETH
On Thursday, the on-chain data tracker Lookonchain took to X (formerly Twitter) to reveal the activities of Ethereum whales over the last week. The post shed light on the sentiment among these large holders and showed their expectations for the digital asset.
According to the screenshots posted by the tracker, four Ethereum whales went on an impressive buying that saw their balances jump significantly. Between them, they bought a total of 56,100 ETH, worth $94 million, in the last week alone.
These whales identified as smartestmoney.eth, 0x3CEE, 0X5bA3, and 0x3478 bought 18,300 ETH ($30.6 million), 18,000 ETH ($30 million), 17,900 ETH ($30 million), and 2,000 ETH ($3.4 million), respectively, during this seven-day timeframe.
Whales are accumulating $ETH from the bottom!
4 whales accumulated 56.1K $ETH ($94M) in the past 7 days.
– 0x3CEE accumulated 18K $ETH($30M);
– 0x3478 accumulated 2K $ETH($3.4M);
– 0x5bA3 accumulated 17.9K $ETH($30M);
— Lookonchain (@lookonchain) August 24, 2023
All of the whales acquired this stash over multiple transactions, withdrawing large amounts of ETH from crypto exchanges Binance and OKX. Even more interesting is the fact that these accumulations began after the market crash that saw ETH fall to $1,500, suggesting these whales are trying to catch the bottom.
Is An ETH Recovery Imminent?
Ethereum’s fall to $1,600 pushed the assets below critical levels for maintaining its bullish momentum. These include the 100-day and 200-day moving averages. However, it is not all bad for the digital asset going forward.
As the Crypto Fear & Greed Index shows, investor sentiment has been slowly but surely recovering over the last few days. This suggests that faith is returning for investors and they are beginning to put money back into the market. If this continues, then the influx could see the price of Bitcoin continue to recover, dragging the likes of Ethereum along with it.
Right now, the most important level for ETH to beat remains the resistance at $1,700. But if bulls are able to successfully retake this level and turn it into support, then the recovery is expected to be long-lived. Otherwise, the price of the altcoin could fall back toward $1,500.
At the time of writing, ETH is changing hands at $1,664, meaning the whale investors are already sitting in profit.
ETH whales reclaim support above $1,600 | Source: ETHUSD on Tradingview.com