Amid significant price decreases across the broader crypto markets, Ether has grabbed the curiosity of market participants. Data from Lookonchain disclosed that a prominent whale has bought huge amounts of ETH today.
Whale buys 7 Million ETH
Today, according to data from Lookonchain, a mysterious whale popularly recognized as “7 Siblings” spent $111.72 million to purchase 45,047 ETH at an average price of $2,480.
An hour later, the whale further purchased a total of 50,429 ETH worth $126 million at an average price of $2,498. These purchases mean the whale took advantage of current Ether price declines to accumulate massive amounts of tokens.
The last time, the whale bought huge amounts of ETH at the dip was on August 6 2024 when the market crashed.
The whale’s activity has a lot of significance to the future movements of Ethereum and signals that it is the right time to accumulate Ether tokens. The move suggests that Ether could be preparing for uptrends soon and that’s how savvy crypto investors make money online.
Whales normally make purchases when they believe a token is undervalued and has an opportunity for growth. Ether is renowned for its robust fundamentals and its function in the expanding NFT and DeFi ecosystems. A whale purchasing activity signifies optimism in Ether’s long-term growth.
When a whale engages in a massive buying like this, it typically suggests that large players or institutions are showing interest in the asset. This may lead to more buying pressure and possibly lead ETH prices to see uptrends as the market responds to whales’ activity.
Ethereum price updates
Ether has witnessed a tremendous downtrend, falling more than 25% from its recent highs of $3,300 and slumping below the critical $3,000 support level. It is currently trading at $2,571.34 meaning that sellers continue to prevail in the game. Currently, the token formed a bearish trendline suggesting that possible price gains could be difficult to come by unless buyers overpower sellers.
Over the weekend, uncertainties struck the global crypto markets, as BTC and ETH dropped after US President Trump announced heavy taxes on goods imported from China, Mexico, and Canada.
Since Friday, Jan.31, BTC has experienced a decrease of over 11% and Ethereum by 30%. Other digital assets, including XRP, SOL, ADA, and others have also witnessed drops.
The announcement of the tariffs caused panic sell-offs as crypto markets experienced huge liquidations worth $2.21 billion in the last 24 hours, according to Coinglass data. Ethereum was the most heavily affected by the liquidations.
Typically, increasing taxes on imports raise concerns about inflation. Consequently, the Fed could tighten monetary policy, possibly pushing lending rates up to counter increasing prices. Higher lending rates are often destructive to risky assets like crypto. The wider cryptocurrency markets are falling based on such negative sentiments. Meanwhile, savvy traders are capitalizing on the ongoing market dips to buy tokens with growth potential.
