Ethereum whales are experiencing a significant uptake in activity over the last few days. They have made nearly 2,600 transactions that totaled $1 million yesterday. This is the largest number of transaction activity in a single day since January.
🐳 #Ethereum‘s whales have been extremely active today, firing off 2,596 transactions valued at $1M or more. This is the largest day of whale transactions since January. It’s something you should monitor. $ETHDrops below $2k for first time since July. https://t.co/FZoTsFJwEn pic.twitter.com/MVFEpzysxN
— Santiment (@santimentfeed) May 11, 2022
The company stated that the increase in activity occurred amid the market-wide retracement, which sent shockwaves through the entire crypto industry. Ethereum, for example, was valued at $3,000 up until May 5, when it plunged by $300 in just minutes. The situation got worse over the days and ETH had to fight for $2,000.
Yesterday, this psychological support line gave up and the ether was lowered to $1700. This marked the drop in ether’s price from April. However, ETH reacted positively to the drop and trades at around $2,100.
Ethereum Whales’ Recent Behavior
Santiment says that Ethereum investors are considered whales if they have earned more than $1 million.
“For many assets, these would be addresses with $100k or more. For Bitcoin and Ethereum, due to the incomparable market cap levels, whales are typically more defined as anywhere between $1M or more, to $10M or more (depending on current price levels).” – the firm explained last month.
Santiment reported on May 2 that deep-pocketed Ethereum investors had begun to aggressively accumulate ETH following four months of inactivity. Market intelligence firm Santiment reported that entities with between 1,000 and 10,000 Ethereum have added an additional 142,000 ETH to their total, which is worth approximately $4074,515,040.
The Ethereum ecosystem is gearing for the largest event of its kind, The Merge. It will see the blockchain adopt a consensus algorithm based on proof-of stake instead of the controversial proofs-of-work.
This transition was regarded as highly bullish by prominent institutional investors who want to join the ranks.
According to Ethereum.org as of today, the total amount of ETH staked has surpassed 12,500,000 units by close to 400,000 validators. The ecosystem’s burning program continues to have a significant effect on the market price. More than 2.3 Million Ethereum have already been removed from existence.