Ethereum Whale Buys 50,020 ETH, Signals Potential Rally
Key Takeaways
- An Ethereum whale purchased 50,020 ETH worth $132 million USD from Kraken.
- The purchase followed a breakout above the $2,570 USD mark, suggesting a potential rally.
- Ethereum’s long/short ratio stands at 2.023, indicating strong bullish sentiment among traders.
- ETH could rise to $2,900 USD if it holds above the $2,570 USD resistance level.
Ethereum Whale Makes a Massive Purchase
On September 24, on-chain analytics firm “TheDataNerd” reported on X (formerly Twitter) that a wallet with the address “0xBCFB” purchased a significant amount of 50,020 ETH worth $132 million USD from the crypto exchange Kraken. This purchase occurred after Ethereum (ETH) broke through the consolidation phase of the last two days and rose above the crucial $2,570 USD mark.
Some whales view the current price as an opportunity and continue to accumulate, while others are offloading their holdings, expecting a price decline.
Key Price Levels to Watch
According to technical analysis, Ethereum remains in a bullish phase despite trading below the 200-day Exponential Moving Average (EMA). The 200 EMA is a technical indicator used to determine whether an asset is in an uptrend or downtrend.
The breakout above the $2,570 USD resistance level and subsequent consolidation suggest a potential continuation of the rally. If ETH continues to hold above this level, there is a realistic chance that the price could rise to $2,900 USD. With sustained positive market sentiment, the price could climb even higher.
Positive On-Chain Data Supports Bullish Sentiment
The optimistic market outlook is further supported by on-chain data. According to Coinglass, Ethereum’s long/short ratio stands at 2.023, indicating extremely bullish sentiment among traders. Additionally, ETH futures’ open interest has increased by 3.2% over the last 24 hours. Open interest refers to the number of open positions in futures contracts and can serve as an indicator of market participants’ interest.
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Traders often use the combination of rising open interest and a long/short ratio above 1 to build long positions. Currently, 66.93% of top traders hold long positions, while 33.07% are betting on a price decline. This suggests that the bulls currently have the upper hand.
Current Status and Trading Volume
At the time of writing, Ethereum is trading at around $2,640 USD and has remained stable over the past 24 hours. Trading volume has decreased by 7% during this period, indicating lower trader activity.
Our Take
The massive purchase by an Ethereum whale and the positive on-chain data suggest a bullish future for ETH. As long as the price remains above the $2,570 USD mark, a rise to $2,900 USD could be realistic. However, the lower trading volume should not be overlooked, as it may indicate potential short-term uncertainty in the market.
| Symbol | ETH |
| Coin type | Alt Coin |
| Transaction Speed | Medium |
| Pros |
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| Cons |
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| Price | $2,635.80 |
| 24h % | -3.02 % |
| 7d % | 0.72 % |
| 30d % | 1.73 % |
| 60d % | -1.30 % |
| 1y % | 61.53 % |
| Market Cap | $317,608,345,075.00 |
| Official Links | Website | Source Code |
| Socials | Reddit | X |
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