According to on-chain data platform Lookonchain, an anonymous crypto whale known for timely ethereum (eth) trades in the past, has bought Additional $5.53 million worth of eth on Binance amid turbulent market conditions.
ethereum whale buying increases
According to a Nov. 22 X post, the purchase follows an acquisition last week when $18 million worth of USDC, a stablecoin, was purchased. used acquire eth at around $1,971. As the whale appears to increase eth purchases, Lookonchain speculates that the same trader is positioning for an upcoming eth breakout beyond the stubborn $2,100 resistance level that could signal a renewed bull market.
It should be noted that despite eth‘s recent expansions, the $2,100 level remains a crucial reaction point for traders. The only time prices surpassed this level was in late July and early November 2023. Prices continue to rise as of writing, but remain below the settlement line.
Binance and Changpeng Zhao reach agreement with US authorities
ethereum whale is doubling despite news that the US Department of Justice levied more than $4 billion in fines against Binance related to regulatory violations, leading to founder Changpeng Zhao stepping down as CEO on November 21. The founder will reportedly pay $50 million as a settlement with US authorities.
While the sanctions caused cryptocurrency prices to falter briefly, markets have since stabilized, with eth prices recently recovering around 5% towards $2,100. Based on this, more advantages could arise if the whale trader’s forecast turns out to be correct in time.
Meanwhile, BNB, the native currency of the BNB chain and used to incentivize trading on Binance, remains under pressure but relatively firm. The currency failed to reverse the losses from November 21, but the losses were contained on November 22.
Based on what has happened over the past two days, some experts are now suggesting that the Binance deal provides validation that allows established currencies like bitcoin to take hold and become resilient enough to weather legal storms. As an example, although the Justice Department penalty caused a sell-off among altcoins, bitcoin appears largely immune, trading above $36,500 but below the $38,000 resistance level.
Beyond this, Paul Tuchmann, former US attorney and partner at the law firm Wiggin and Dana, believe that Binance is now too big to fail, as the Department of Justice issued a deferred prosecution agreement, effectively protecting innocent shareholders, customers, and others associated with the exchange from bearing the full brunt of this ruling. With this agreement, the exchange will pay the fine in 15 months.
Featured image from Canva, TradingView chart
