While the rest of the crypto market has been in an upward trend over the past few days, the Ethereum (ETH) spike might have just been fueled by the asset’s recent whale accumulation spree.
Over the past three days, between Sunday and Tuesday, Ethereum has seen a spike in price regaining the major losses in its value last week. ETH has soared from a low ranging in the $1,400 region as of March 11 to trade above $1,600, at the time of writing.
Whales Buying Spree On ETH
The crypto market has been on a bullish trend for the past few days, and with Ethereum being the second-largest crypto by market cap, the ETH surge can be attributed to many factors. However, the most notable factor so far behind ETH’s spike can be linked to several whales buying up a large amount of ETH.
According to a Santiment report shared by crypto analyst Ali Charts, Ethereum whales who once had a balance of 1,000 to 10,000 ETH have now added a massive 400,000 ETH to their ETH balance amid the market’s recent downward trend. The total amount of the added ETH is estimated to be worth about $600,000,000 and has been attributed to the current ETH surge.
ETH whales go on buying spree | Source: Santiment
Notably, Ethereum whales have since been on a buying spree over the past weeks. NewsBTC recently reported citing a Santiment report that Ethereum whales with non-exchange addresses added more than 25 million ETH to their balance, a figure that was last seen in 2016.
According to the report, in 2016, when the top wallets held this much ETH, the price of ETH surged by over 1,000%, from a meager $0.93 to over $12 by the time the rally was done. Meanwhile, Ethereum whales have not been focused on ETH alone as they have also expanded interest to other altcoins in the market such as Shiba Inu (SHIB) and Polygon (MATIC).
Ethereum Continues Rally, $1,700 Next?
Despite the fact that there is a reason for a decline in price given the US ongoing bank crisis, ETH and the rest of the crypto market have only continued to show a bullish trend since Sunday. Over the past three days, Ethereum has added over $30 billion to its market cap, surging from a March 11 market cap low of $174 billion to $206 billion, as of today.
This surge comes after ETH initially showed exposure to the negative news in the industry last week alongside the rest of the crypto market. However, with the ongoing ubiquitous rally, ETH has been quick to recover from the major losses experienced last week.
At the time of writing, ETH trades at $1,690, looking to break above $1,700. With whales currently participating in an accumulation spree on ETH, the asset could soon revisit the $1,700 mark for the first time since the February surge.