On-chain data shows that Ethereum whales are taking part in some notable purchases.
Ethereum whales added their holdings
As analyst Ali Martinez explained in a new X post, Ethereum whales supply has risen recently. The indicator of the chain of interest here is the “supply distribution” from the analytics company Santiment. This tells you the total amount of assets currently held by a particular wallet group.
Addresses or investors are divided into these cohorts based on the number of coins they carry in the balance. For example, a 1-10 coin cohort includes all holders who own 1-10 ETH.
In the context of the current topic, whale groups are focused. The range of this cohort is typically defined as 10,000-100,000 ETH. At current exchange rates, the lower limit is converted to $206.2 million and the upper limit is converted to $262 million.
Therefore, the only investors who qualify for the group are big money investors. Such holders can have some influence on the market, so behaviour represented by trends in supply distribution are worth monitoring.
This is a chart shared by Martinez showing trends in Ethereum whales’ supply distribution over the past few weeks.
The value of the metric appears to have shot up in recent days | Source: @ali_charts on X
As can be seen in the graph above, the Ethereum supply distribution of 10,000 to 100,000 coins by investors has recently increased, meaning that these holders are participating in the net accumulation.
In total, the whales added 200,000 ETH (worth approximately $524 million) to their holdings for the purchase. This is a substantial amount, suggesting that some large holders think cryptocurrencies are worth buying at current prices. However, it remains to be seen whether this bet will pay off these investors.
In some other news, as on-chain analytics company GlassNode points out on XPost, there is a strong accumulation zone in Ethereum at the $2,500 level.
The trend in the Cost Basis Distribution of ETH over the last few months | Source: Glassnode on X
The chart above shows data for Ethereum cost-based distribution heatmap. This is an indicator of what price level the asset supply was last purchased.
“ETH’s cost-based delivery heatmap shows ~2.5k as one of the strongest accumulation zones in the month,” GlassNode said. “ETH above 3.45m has a cost base in the $2,513-$2,536 range, enhancing this level as the main support zone.”
ETH Price
At the time of writing, Ethereum has traded around $2,600, an increase of 3% over the past 24 hours.
Looks like the price of the coin has seen a surge over the past day | Source: ETHUSDT on TradingView
Featured images from charts on Dall-E, Glassnode.com, santiment.net, and cradingView.com
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