Ethereum Whales Now Hold 32.3% of Total ETH Supply
According to crypto analytics firm Santiment, it appears that Ethereum’s whale addresses, those holding at least 1 million ETH, now hold 32.3% of the total available supply.
sold 1700 ETH for USDC 2.76 million.
This move by the Ethereum Foundation caused the price of ETH to fall by -3% in those 24 hours.
The transaction by the non-profit organisation behind the smart contract crypto par excellence was carried out via Uniswap’s DEX (or decentralised crypto-exchange).
Of course, there was no shortage of related commentary suggesting that the sale of ETH in USD coin was done to be in line with the foundation’s ongoing operations, including research grants.
ETH vs. BTC: Price Comparison
While Bitcoin (BTC) has gained +5% over the last seven days, ETH is more or less at the same level as a week ago.
In practice, BTC saw a surge over the weekend, taking the price from $27,000 to $28,877 on Monday. At the time of writing, BTC is worth $28,583.
ETH, on the other hand, also saw a pump over the weekend, taking its price from $1,500 to $1614 on Monday. Unfortunately, this price has been retraced and at the time of writing ETH is worth $1581.
Ethereum is still a long way off its early October price of $1730. Bitcoin, on the other hand, has surpassed its own early October price of $28,500.
Hot Take: Ethereum Whales Pose Potential Risk to Market Stability
The growing concentration of Ethereum whales holding a significant portion of the total supply raises concerns about market stability and manipulation. With 32.3% of ETH held by these whales, their actions can greatly impact the price of the cryptocurrency. The recent sale of 1700 ETH by the Ethereum Foundation caused a 3% drop in ETH’s value within 24 hours. While some argue that such sales are necessary for ongoing operations and research grants, others worry about the power these whales hold in influencing the market. It remains to be seen how this concentration of wealth will affect Ethereum’s future.
