Ethereum (ETH) Whales Continuously Accumulate, Now Holding 43% of Supply
Ethereum’s major token holders have been steadily amassing more of the second-largest cryptocurrency by market capitalization, thereby increasing their dominance within the market. Data provided by IntoTheBlock, an on-chain analysis firm, indicates that the accumulation by Ethereum whales has been ongoing since 2019 and gained momentum in early 2023 following the network’s Shanghai upgrade, which enabled the withdrawal of staked Ether.
The information, disseminated on the widely-used microblogging platform X (previously known as Twitter), reveals that these whale addresses now possess over 43% of Ethereum’s circulating supply, inching closer to the 48% controlled by retail investors. Despite this significant accumulation, Ethereum has been displaying weaker performance compared to Bitcoin, with a mere 1.4% increase this year, in contrast to Bitcoin’s 33.6% surge during the same period. The current market capitalization of Ethereum stands at approximately $278 billion.
An interesting observation comes from Benjamin Cowen, a well-known cryptocurrency analyst, who noted that Ethereum’s monthly candles are closely mirroring its 2016 trajectory. This alignment suggests a potential positive outcome for Ethereum by the end of September, followed by a dip later in the year and a surge in 2025. In 2016, Ethereum’s value was slightly below $11 and later skyrocketed to $370 in 2017 and surpassed $1,360 in early 2018 before the subsequent bear market.
Should Ethereum replicate the remarkable 12,200% surge witnessed in 2016, the cryptocurrency could exceed the $30,000 mark in a historic bullish trend, leading to a substantial increase in its market capitalization. It is essential to bear in mind that historical performance does not guarantee future results, especially in the volatile cryptocurrency market where unforeseen events can disrupt projected price movements.
In conclusion, Ethereum’s whales continue to accumulate the cryptocurrency, consolidating their dominance in the market. The potential outlined by analysts like Benjamin Cowen indicates a promising future for Ethereum, but caution is advised due to the unpredictable nature of the crypto market.
