Whales accumulate Ether despite flat performance, what do they know?

An Ethereum wallet, possibly TRON founder Justin Sun, withdrew nearly $50 million in Ether from Binance and bought nearly $470 million worth of the altcoin between April 8 and 24. Ether accumulation by whales is typically considered a positive sign for an asset.

Ethereum whale accumulates ETH despite flat price

Lookonchain, an on-chain crypto data intelligence tracker has identified a wallet address that likely belongs to Justin Sun. The wallet withdrew 15,389 ETH worth $49.78 million from Binance, early on Wednesday.

0x4359 (possibly #JustinSun) withdrew 15,389 $ETH($49.78M) from #Binance again 8 hours ago and he had bought 147,442 $ETH($469.9M) at $3,179 since Apr 8.https://t.co/41366OnM5Yhttps://t.co/PXIswFqWum pic.twitter.com/0J77rbZhFB

— Lookonchain (@lookonchain) April 24, 2024

The wallet bought 147,442 ETH worth $469.9 million at $3,179 since Apr 8. The whale is accumulating the second largest asset by market capitalization, despite the flat price trend. Four days post halving, when market participants expect volatility in the risk assets, Ethereum has stabilized below $3,300.

Factors like geopolitical crises and anticipation among market participants regarding the BTC halving likely capped Ethereum gains.

At the time of writing, Ethereum price is $3,128, as seen on CoinGecko.

Why is Ethereum rangebound?

Ethereum faces the risk of being classified as a security by the US Securities and Exchange Commission. This has dampened ETH holder sentiment, among other factors. In his Thinking Crypto podcast, Tony Edward talks to Cody Carbone of The Digital Chamber, about the SEC’s plan to classify Ether as a security.

The SEC has a plan to classify Ethereum as a security – going against the CFTC’s classification of ETH being a commodity.

Cody Carbone of The Digital Chamber shares his thoughts.

Watch the full interview https://t.co/cEiaSYSLNi#ethereum #eth $eth #sec #garygensler… pic.twitter.com/YWJiAkkPWF

— Tony Edward (Thinking Crypto Podcast) (@ThinkingCrypto1) April 24, 2024

The SEC’s move would go against the Commodity Futures Trading Commission’s classification of a “commodity.”

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