A cryptocurrency whale has made a significant transaction by converting $1 million worth of DAI into 398 Ethereum ($ETH) at a rate of $2,515 per $ETH, according to Onchain Lens data. The investor has held DAI for close to 2.5 years and the move has sparked speculation regarding its market strategy.
Major ETH Investment Sparks Speculation on Future Prices
Over two years ago, the funds were received through a decentralized crypto exchange, called FixedFloat. Also noteworthy is the fact that Ethereum’s price continues to be volatile in the broader market. High net worth investors’ such substantial purchases tend to affect market sentiment and share price movements.
Market analysts are predicting that this acquisition might be a good sign of exploring the long- term hope in Ethereum. Others assume the whale positions himself for an eventual hoped for price spike.
$1M ETH Trade Raises Questions on Investor Sentiment
This type of large onchain movements is carefully watched out by people as it can prove upcoming trends with crypto space. With other investors following suit, Ethereum could see higher demand, and then, in turn, prices rise even higher. However, if the whale sells its holdings and liquidates, then this will affect volatility in the market.
The crypto community will be closely watching if this transaction, reported by Onchain Lens, spurs others long-term stablecoin holders to make the same move. It is yet to be seen whether this is a trend in investor sentiment towards Ethereum or just an isolated incident.
