Ethereum (ETH), the second-largest cryptocurrency by market cap, seems to be on the verge of a significant market recovery, driven by recent purchases believed to have been made by Justin Sun, the founder of Tron. Sun’s buying spree has once again brought attention to the bullish sentiment among crypto whales towards Ethereum, despite the price fluctuations in the market. Lookonchain, an on-chain analytics platform, highlighted a mysterious wallet suspected to belong to Justin Sun, which has acquired 127,388 ETH ($405.19 million) from various sources since April 8, at an average price of $3,127.
Comparison of Wallet Transactions
Lookonchain also referenced a previous tweet mentioning another wallet suspected to be owned by Justin Sun, which bought 168,369 ETH at $2,894 between February 12 and 24. The platform noted similarities in the transaction behavior of both wallets, indicating that they are likely owned by the same individual. If indeed both wallets belong to Justin Sun, it would mean that he has accumulated a total of 295,757 ETH ($891 million) at an average price of $3,014 since February 12. Sun’s actions have sparked curiosity within the crypto community, with many questioning his significant exposure to Ethereum.
The recent activities of Justin Sun and other Ethereum whales underscore the positive sentiment towards the cryptocurrency, despite its recent price performance. Another Ethereum whale, who had already incurred losses of $4.5 million, opened a new long position on the token and borrowed 17.3 million USDT to increase their exposure. On-chain data also revealed the withdrawal of large amounts of ETH from exchanges, suggesting long-term holding and staking of the cryptocurrency to anticipate further price appreciation. These bullish moves by Ethereum whales could potentially impact the price discovery of ETH, especially during a period of declining network growth.
Market Impact and Price Movement
The actions of Ethereum whales, including Justin Sun, could have a significant influence on the price of the cryptocurrency. With Ethereum currently trading around $3,170, down slightly in the last 24 hours, the bullish sentiment from whales and their accumulation of ETH could provide support for the token’s price. Whales are known to play a crucial role in price discovery and market dynamics, making their activities closely monitored by traders and investors. As Ethereum faces challenges with declining network growth, the positive outlook from whales could help sustain its market performance.
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