A whale has been slowly accumulating ethereum (ETH), on-chain data in the programs of February 19.
Whale accumulating ETH
Over the past 34 days, the whale, identified only as “0xB79c”, has been accumulating its share of ETH, buying regardless of spot price, from Binance and Coinbase.
On February 19, Etherscan data shows that the address has 30,034 ETH worth more than $50.9 million. The last purchase was earlier today when the whale bought 1,362.15226ETH. In the last four days, the whale has been buying more than 1000 ETH in bulk, increasing its catch.
However, it is not immediately clear what motivates the holder or what might be the reason for his constant buying of ETH in the last month of trading.
Ethereum is a leading smart trading platform and home of DeFi, NFTs, and the metaverse. This is judging by the launch activity of popular dApps in your lane.
Blur and OpenSea, for example, are two of the largest NFT marketplaces in the world, making it easy to trade Ethereum-based NFTs.
At the same time, Uniswap, a decentralized exchange, tops the list of trustless onramps that allow users to trade tokens without intermediaries. Earlier this month, the Uniswap community voted and approved the launch of DEXs on the BNB Smart Chain (BSC).
Possible price drivers
In the short term, ETH holders expect prices to rise. The activation of the Shanghai Upgrade on Ethereum will see the gradual and systematic unlocking of billions of ETH from the Beacon Chain.
Although this event could see ETH prices contract as some holders opt out of the market, there could be a portion that will flow to liquid staking providers like Lido DAO and Rocket Pool, for example. This move, coupled with the fact that 24.9% are individual ETH participants, means more coins will be withdrawn from circulation, possibly supporting prices.
Ethereum changed its fee auction model via EIP-1559, introducing a base fee and fee burning model. Over time, hundreds of millions of ETH have been destroyed and will not be recovered.
Uniswap and OpenSea activities directly contribute to more coins being burned. In turn, this makes ETH gradually deflationary. In the next few years, proponents believe that ETH will become ultrasound money and a store of value asset of choice, better than bitcoin (BTC).
