Institutional investors have been accumulating ethereum at a rapid pace following the SEC decision. recent approval of Spot ethereum ETFs. crypto analyst Ali Martinez noted that this accumulation trend has created buying pressure that could be the much-needed catalyst for ethereum to surpass the $4,000 price mark.
According to a post by Ali Martinez on social media, the number of ethereum addresses holding more than 10,000 eth tokens has increased by 3% in the last three weeks, showing a positive trend among large investors.
Whale Accumulation Drives ethereum Buying Pressure
Speculation over ETF approvals and growing institutional acceptance have helped fuel ethereum's price rise earlier this year. The first price increase ethereum-etfs/” rel=”nofollow”>it happened in february when multiple SEC reports emerged potentially approving Spot ethereum ETF applications following the approval of Spot bitcoin ETFs.
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This caused the price of ethereum to surge more than 83% over the month to hit $4,000 again for the first time since 2021. Similarly, the May court rulings, which ethereum-spot-etfs-approval-odds-rise-from-25-to-75-sparking-the-start-of-altcoin-season/” rel=”nofollow”>increased the odds of The spot approval of the ethereum ETF pushed the price of eth above $3,000 again.
Now that the SEC ethereum-etfs-bitcoin/” rel=”nofollow”>has finally approved With these ETF spot applications, institutional investors are taking the opportunity to load their portfolios with ethereum. According to Glassnode data, this buildup, which has been occurring for the past three weeks, has pushed the number of wallets holding more than 10,000 eth to over 975 and steadily approaching 1,000 addresses. Furthermore, the data shows that the number of eth megawhale addresses has been steadily increasing over the past 30 days, with the recent metric showing an addition of 15 whale addresses.
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The number of twitter.com/hashtag/ethereum?src=hash&ref_src=twsrc%5Etfw” rel=”nofollow”>#ethereum addresses with more than 10,000 twitter.com/search?q=%24ETH&src=ctag&ref_src=twsrc%5Etfw” rel=”nofollow”>$eth has risen 3% over the past three weeks, indicating a major increase in buying pressure. pic.twitter.com/7qq5HgGP37
– Ali (@ali_charts) twitter.com/ali_charts/status/1799908829221749005?ref_src=twsrc%5Etfw” rel=”nofollow”>June 9, 2024
On-chain data also reveals that social sentiment for eth x.com/ali_charts/status/1799512719105937630″ rel=”nofollow”>has stabilized following intense enthusiasm following the approval of the ethereum Spot ETF. However, this has not stopped the massive withdrawal from exchanges, leading to ethereum becoming scarcer on centralized exchanges. This trend has now seen ethereum balance on centralized exchanges. bitcoin–ethereum-lead-migration-from-exchanges/” rel=”nofollow”>falling below bitcoin, even when Spot bitcoin ETF wallets also accumulate Bitcoins. According x.com/LeonWaidmann/status/1799816495910031558″ rel=”nofollow”>Glassnode dataLess than 10.56% of the total ethereum supply is currently on major exchanges.
eth Price Outlook: What's Next After Critical Buying Pressure?
With whales doubling down on ethereum, buying pressure has reached a critical point. This increase in interest indicates a very ethereum-etf-trends-lead-to-5-billion-inflow-prediction-where-will-that-capital-be-invested/” rel=”nofollow”>bullish outlook for ethereum price in the coming months, although there could be short-term volatility.
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At the time of writing, ethereum is trading at $3,527 and has fallen 3.83% in the last 24 hours. While the increased buying pressure is a good start, the bulls still have work to do to push the price of ethereum higher. The first great wall of resistance is eth/deep-dive?group=financials&chart=inAndOut” rel=”nofollow”>around $3700, where 1.82 million addresses contain 1.8 million eth.
Featured image created with Dall.E, chart from Tradingview.com
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