Ethereum: Can rising adoption offset whale sell-offs?

  • ETH accumulation has fallen in recent weeks.
  • ETH experienced a positive trend last weekend.

Ethereum [ETH] has experienced significant volatility in recent months, with on-chain metrics sending mixed signals. Data shows that some Ethereum whales have halted their accumulation, indicating a possible shift in sentiment among large holders.

Despite this, Ethereum recently recorded a four-month high in network growth, a positive indicator of increased activity and adoption on the network.

Ethereum whales scale back on accumulation

An analysis of Ethereum addresses on Glass junction reveals different reactions to recent price movements across different categories of holders. Addresses holding 10-100 ETH have remained relatively stable, indicating no significant sell-offs or new accumulations.

However, more significant movements were observed at larger addresses. For addresses holding 1,000-10,000 ETH, accumulation stopped towards the end of August.

There has also been a noticeable decline in ownership since then, which indicates redistribution or sell-off. This shift suggests that mid-range whales are reducing their exposure.

Ethereum whale addressesEthereum whale addresses

Source: Glassnode

Furthermore, larger addresses holding 10,000 ETH or more have scaled back their accumulation even sooner.

Records show that these addresses stopped accumulating around July, and like the 1,000 ETH addresses, they have also redistributed or sold their holdings since then.

The recent growth of the Ethereum network gives positive signals

The recent decline in whale address accumulation could be interpreted as a negative indicator for Ethereum, signaling caution among large holders. However, the positive growth of the network in new addresses offers a more optimistic outlook.

New Ethereum addressesNew Ethereum addresses

Source: Santiment

According to data from SantimentEthereum recently hit a four-month high in daily new addresses, rising to over 126,000. This is the highest level since June and is notable because it occurred on a Sunday.

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There is usually less network activity on this day.

ETH ends the weekend on a positive note

An Ethereum analysis on the daily chart shows positive price movement over the weekend. At the end of trading on September 8, ETH saw a 1% increase and was trading around $2,297.

This followed a 2% increase in the previous session. At the time of writing, ETH is in the $2,300 price range, up less than 1%.

The recent spike in network growth, marked by an increase in the number of new addresses, highlights the growing interest in Ethereum, even amid market volatility.

While whale accumulation has declined, the increase in network participation suggests that smaller investors or newcomers are becoming more active in the Ethereum ecosystem. This renewed interest could help balance the overall market dynamics.


Read Ethereum (ETH) Price Prediction 2024-25


The interaction between slowing whale activity and rising network growth will be critical in determining Ethereum’s future price movements and network strength.

If smaller investors continue to show interest, this could offset some of the downward pressure from reduced whale accumulation, potentially supporting ETH’s price in the near term.

Next: Examining WIF’s Bullish Week: Memecoin Rises 9% as Sentiment Changes

Credit : ambcrypto.com