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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!
— Lookonchain (@lookonchain) November 22, 2024
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
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.