Ethereum Bullish Signal: Whales And Sharks Continue To Add To Their Holdings

Data shows the Ethereum whales and sharks have continued to fill up their bags recently, a sign that may prove to be bullish for the price of the crypto. Ethereum Whales And Sharks Bought 561k ETH In A Single Day As per data from analytics firm Santiment, ETH whale and shark addresses are accumulating back towards pre-Merge levels. The relevant indicator here is the “ETH supply distribution,” which tells us which wallet groups are currently holding what percentage of the total Ethereum supply. Wallet addresses are divided into these groups based on the total number of coins that they are holding currently. For example, the 1-10 coins group includes all addresses that are carrying between 1 and 10 ETH right now. Related Reading: Bitcoin Holders Show Rapid New Accumulation For First Time This Bear, Bottom Signal? In the current discussion, the holders of interest are those with at least 100 ETH and at most 1 million ETH in their balances. Here is a chart that shows the trend in the combined Ethereum supply distribution for all the wallet groups falling into this range: The value of the metric seems to have shown some sharp uptrend in recent days | Source: Santiment As you can see in the above graph, the percentage of the Ethereum supply held by wallets in the 100-1m coins range has observed rapid growth recently. Between the 5th and the 6th of this month alone, the indicator saw its value go up by 561k ETH. The holder cohorts with wallet balances lying in the range are sharks and whales. Movements from these investors (especially the whales) can have noticeable impacts on the market. Related Reading: Bitcoin Miners Feel The Heat, More Selling Pressure Might Be Imminent The latest uptrend suggests that these groups have been filling up their bags with more Ethereum recently. Such an accumulation implies the ETH whales and sharks are bullish on the crypto right now. Earlier in the year, these humongous investors accumulated during the Merge hype, and subsequently dumped the crypto in a sell-the-news event as soon as the actual PoS transition took place (which can be seen by the sharp plunge in the chart). After the recent accumulation, the whale and shark holdings have now returned close to the levels they were before the Merge leadup. ETH Price At the time of writing, Ethereum’s price floats around $1.2k, down 1% in the last week. Over the past month, the crypto has lost 21% in value. The below chart shows the trend in the price of the coin over the last five days. Looks like the value of the crypto has struggled in the last few days | Source: ETHUSD on TradingView Featured image from Todd Cravens on Unsplash.com, charts from TradingView.com, Santiment.net

Bitcoin Consolidation At $17K Could Be A Calm Before The Storm

Bitcoin and crypto market twist has brought unexpected changes to almost all assets. Prices have been declining with little or no hope for a reversal. The FTX exchange fiasco intensified the performance as several losses have been recorded in the entire crypto space. Following the events, the price of Bitcoin dipped below its critical resistance level of $20K. Since then, the primary cryptocurrency has plummeted as the value slipped toward the $17K region. Related Reading: Data Suggests Ethereum Layer-2 Tokens May Experience Explosive Upside Over the past 24 hours, BTC could not make any significant positive movement. Hence, the token has resolved to consolidate around the $17K level. But many doubts are brewing if a storm could follow this new calmness in the future. Bitcoin Calms Around $17K Bitcoin has failed to trigger enough volatility that could push the price higher. The cryptocurrency has stalled around the $17K level during some trading hours. As of yesterday, BTC managed to hit up to $17,424. But the surge couldn’t last long as the bears suddenly took over. According to data from Binance, the primary crypto dropped to an intraday low of $16,867. However, the coin is gradually climbing upward. At the press time, Bitcoin is trading at around $16,835, indicating a drop. It boasts a market cap of about $326.81 billion, and its dominance over the altcoin is at 38.33%. Over the years, several interpretations for prolonged periods of reduced volatility have been given. One such is that it stands as a precursor toward a massive surge. Hence, the speculation on Bitcoin’s current consolidation could represent the calm before the storm. Altcoins In Red Zone The crypto market has experienced an overall drop as prices keep dropping. With the strong presence of the bears, the altcoins have painted the market red. This declining trend has cut down the overall market cap more. At the time of writing, the cumulative market cap sits at $853.33 billion. It shows a drop of about 1.39% over the past 24 hours. The performance of the altcoin has not been impressive. Most recorded a decline between 2% and 6% over the last day. The worse performers over the past day are BTSE Token and GMX. While the former dipped by 8.3%, the latter plummeted by over 7.2 % within 24 hours. Other losers include ETH with a 3.41% drop, DOGE dipped by 6.47%, XRP by 2,57%, BNB by 2.38%, MATIC by 3.17%, ADA by 3.11%, and others. However, the market saw just a few exceptions to the southward move. The best performers are Axie Infinity’s AXS and Synthetix Network’s SNX. While AXS surged by 4.4%, SNX recorded an increase of 5.4% in the last 24 hours. Featured image from Pixabay, chart from TradingView.com

Is Bitcoin Bottom In? This On-Chain Condition Hasn’t Been Met Yet

A Bitcoin on-chain metric still hasn’t formed the same condition as in the previous bottom, suggesting that the current low may not be in yet. Stablecoin Exchange Inflows (Top 10) Hasn’t Shown Any Spikes Recently As pointed out by an analyst in a CryptoQuant post, the top 10 stablecoin exchange inflows saw a rise during the July 2021 bottom. The “stablecoin exchange inflows (top 10)” is an indicator that measures the sum of the ten largest stablecoin transactions that are heading towards exchanges. The metric includes data of all types of stablecoins. Since the top ten transfers are usually from the whales, this indicator can tell us whether whales are active on exchanges or not. Usually, investors shift to stables when they want to escape the volatility associated with most other cryptos. Once these holders feel that the prices are right to re-enter these markets, they buy into other coins using their stablecoins, thus providing a buying pressure to them. When the value of the top 10 stablecoin exchange inflows is high, it means whales could be sending large amounts of stables to exchanges for buying other coins. Such a trend could therefore be bullish for the prices of cryptos like Bitcoin. Related Reading: Continued Upswing Of VIX Signals Doom For Bitcoin; But Friday Will Be Crucial Now, here is a chart that shows the trend in this on-chain indicator over the last few years: Looks like the value of the metric has been muted in recent days | Source: CryptoQuant As you can see in the above graph, the stablecoin inflows (top 10) to spot and derivative exchanges have been displayed separately, since spot platforms are what investors use for converting their coins. It seems like when the Bitcoin bottom formed back in July 2021 during the mini-bear period of the time, the spot exchange version of the metric sharply rose up. This implies that whales participated in some heavy buying during that time with their stablecoin reserves, paving way for a bullish reversal in BTC. Related Reading: Bitcoin Holders Show Rapid New Accumulation For First Time This Bear, Bottom Signal? In recent weeks, the top 10 stablecoin inflows to spot exchanges haven’t shown any significant movements, which means whales aren’t providing any significant buying pressure yet. If the past trend is anything to go by, this could be an indication that the current Bitcoin bottom still hasn’t formed. BTC Price At the time of writing, Bitcoin’s price floats around $16.8k, down 2% in the last week. Over the past month, the crypto has lost 18% in value. The below chart shows the recent trend in BTC: The value of the crypto seems to have declined during the last couple of days | Source: BTCUSD on TradingView Featured image from Kanchanara on Unsplash.com, charts from TradingView.com, CryptoQuant.com