Ethereum Whale Transactions Reduced by 50%, Price Surges to $3.3k

The Ethereum (ETH) whale transactions on a daily basis have experienced a significant decrease in the recent day while the price of the asset has seen a surge. ETH has shown a 4.4% increase in value over the past 24 hours and is currently being traded at $3,350. As the second-largest cryptocurrency, ETH has exhibited a remarkable recovery of 13% over the last week, aligning with the broader crypto market’s rebound.

Presently, Ethereum boasts a market capitalization of $400 billion alongside a daily trading volume of $12.7 billion. Data from Santiment reveals that the number of whale transactions involving at least $100,000 worth of ETH has plummeted by 56% in the past 24 hours, dropping from 11,115 to 4,827 unique transactions per day.

The decrease in whale activity suggests that the surge in the asset’s price has been supported by smaller investors, indicating a lower likelihood of market manipulation by whales. Conversely, data from the market intelligence platform highlights a consistent rise in ETH’s total open interest over the past week, escalating from $6.04 billion on July 8 to $6.97 billion at the current reporting time.

The heightened open interest typically leads to increased price volatility due to a rise in liquidations. As the price of Ethereum surged, data from Coinglass indicated that ETH liquidations amounted to $24 million, with $5 million attributed to long positions and nearly $19 million to short positions.

Similarly, the ETH Relative Strength Index (RSI) has been steadily climbing since July 7. According to data sourced from Santiment, Ethereum’s RSI currently stands at the 50 mark, signaling that the asset is in a favorable state for a potential price upsurge.