Ethereum whales are more dominant than ever before. In an X post on Tuesday, analytical platform Santiment revealed that 104 wallets have at least 100,000 ETH, constituting 57% of the total supply and worth about $333.01 billion. Although this is a positive indicator of the Ethereum network, it raises concerns about the centralization of the cryptocurrency.
Ethereum Whale Accumulation
Whale accumulation has always been associated with long-term bullish sentiment in the market. Large investors’ decision to raise their stakes usually implies they expect the asset to appreciate in the future. In its 9th year of existence, Ethereum is among the leading platforms that support decentralized finance (DeFi) and staking.
Wallets between 100 and 100,000 ETH now hold 33.46% of the supply, the smallest share on record. Small investors who own less than 100 ETH account for 9.19% of the total supply, which is considered the lowest in the last four years.
Ethereum Price Prediction 2025-2035: Will It Surpass $5K by 2025?However, these issues have not affected the price of Ethereum in any way. It has traded above $4,000, which is an indication of a strong market. This is suspected to be due to whale accumulation. Less supply on the market will increase prices. However, if the large investors intend to sell, then it might lead to great price fluctuations.
Technical Outlook for Ethereum
In technical analysis, Ethereum’s next resistance level is between $4,100 and $4,200.The initial support level is between $3,700 and $3,800, which is the immediate support area. ETH will continue its upward movement as long as it remains above the $4,000 mark. However, the inflow or outflow from the whale wallets could vastly affect the prices. As of press time, ETH is trading at $4,007, showing a 2.54% increase over the past day.
Although Ethereum is still dominated by whales, such a trend shows that investors are increasingly optimistic about the asset’s future. Having become one of the leaders in the DeFi and blockchain industries, Ethereum continues to demonstrate a positive trend. However, for sustained growth, a more balanced supply distribution is essential.
