Bullish sentiment in the cryptocurrency market has continued, with many investors making huge profits from early bets. This bullish run has also woken a dormant billion-dollar Ethereum (ETH) that is now snapping gains from its massive holding.
Eight-Year Ethereum HODL ends in massive profits
According to Lookonchain data, the whale amassed 398,889 ETH between Jan. 18 and Mar. 10, 2016, at an average price of approximately $6 per ETH. Eight years ago, the total purchase made by the whale amounted to $2.4 million.
A whale that accumulated 398,889 $ETH(currently worth $1.34B) at an average price of ~$6 is selling $ETH again!
This whale accumulated 398,889 $ETH(then worth $2.4M) between Jan 18 and Mar 10, 2016, at an average cost of ~$6 per $ETH.
After remaining dormant for over 8 years,… pic.twitter.com/9rfw1IrdRt
— Lookonchain (@lookonchain) November 22, 2024
After this massive accumulation, the whale went dormant and began trading on Nov. 7, when it began selling Ethereum. The whale might have decided on a long-term holding strategy or possibly just remembered the funds now.
Interestingly, this happened after ETH breached its $2,600 resistance level. The whale’s first sale happened when ETH traded at about $2,820. So far, out of the 398,889 ETH, the whale has sold off 73,356 ETH, worth about $224.42 million.
This represents a profit of approximately $222.02 million for the sales of less than one-sixth of their total holding. The Ethereum whale still has 325,533, valued at over $1.3 billion based on the current market price.
It remains to be seen if the whale will continue their sales or enjoy its staggering $222 million profit for now.
Impact on market and community speculations
The whale action has sparked debate among Ethereum holders, with some arguing that the offloading might impact ETH’s performance. They suggest this could trigger other whales to dump ETH on the market, exerting downward pressure on ETH’s price in the ongoing bull run.
Although speculations abound on the whale’s intention, trade enthusiasts maintain that the investor made a good investment. They say it was not out of place to shed some of the holdings for profit for an asset acquired at an average price of about $6.
Additionally, it highlights how much Ethereum’s value has appreciated over the years. As of this writing, ETH trades at $3,364, up by 7.59% in the past 24 hours. Market volume is up by 47.63% to $51.73 billion, indicating heightened interest in the altcoin.