Ethereum

<ul><li>An early Ethereum backer transferred 1,960 ETH, valued at $5.8 million, from their wallet on Thursday.</li><li>The transfer revived concerns about potential profit-taking, influencing market sentiment and price dynamics.</li><li>Historical data indicates such large movements of dormant ETH often precede shifts in the cryptocurrency&#39;s market price.</li></ul>An early investor in Ethereum, inactive for almost nine years, made headlines by transferring a substantial amount of cryptocurrency. According to <a href="https://twitter.com/lookonchain/status/1786060692283699266" rel="noopener noreferrer nofollow">data</a> from Lookonchain, an onchain data tracking platform, the transfer involved 1,960 ETH, which, at the current market value, amounted to $5.8 million. The investor initially acquired the <a href="https://cryptotale.org/ethereum-price-drops-amidst-ethereum-foundation-activity/" rel="noopener noreferrer nofollow">Ethereum</a> during its initial coin offering, paying just 31 cents per token.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/ae3b529317784e6187385aed82c486c4.png" />The reasons behind the transfer remain unclear. However, the considerable gain of over 950,000 percent suggests profit realization could be a motive. Such transactions have historically led to discussions about market impact, as similar moves in the past were often followed by a <a href="https://cryptotale.org/ethereum-faces-market-downturn-while-whale-investors-remain-bullish/" rel="noopener noreferrer nofollow">decrease in Ethereum&#39;s price</a>.Additionally, the action might indicate a strategy shift, with the investor possibly diversifying their portfolio into other cryptocurrencies. This kind of strategic reallocation can reflect broader trends in investor behavior within the crypto market.Previous instances of reactivating dormant Ethereum accounts have been <a href="https://twitter.com/lookonchain/status/1771723635931160611" rel="noopener noreferrer nofollow">noted</a> this year. Notably, on March 24, an entire 2,000 ETH acquired during the ICO was moved. Another significant transaction <a href="https://x.com/lookonchain/status/1759946604466126944" rel="noopener noreferrer nofollow">occurred</a> on February 20, with 1,732 ETH being transferred to the cryptocurrency exchange Kraken.However, data from <a href="https://app.santiment.net/" rel="noopener noreferrer nofollow">Santiment</a> observed that spikes in the movement of ETH that have been dormant for over five years often lead to price adjustments. This pattern underscores the potential influence of large, individual transactions on general market sentiments.<img src="https://academy-public.coinmarketcap.com/optimized-uploads/66ee83294a08458a838b934db01192d0.png" />Source: <a href="https://app.santiment.net/" rel="noopener noreferrer nofollow">Santiment</a>As of press time, Ethereum trades around <a href="https://coinmarketcap.com/currencies/ethereum/" rel="noopener noreferrer nofollow">$3.044</a>, up by 3% in the past 24 hours. The cryptocurrency is currently experiencing a recovery phase after a drop of nearly 10% last month and a weekly drop of 5%. The futures market has shown a notable shift in sentiment, with an increase in traders betting against the coin, a move that could further affect its price stability.

Ethereum Holder Transfers $5.8M in ETH After Nine Years of Inactivity

CryptoTale

Other articles published on May 3, 2024

Bitget reports a 335% Bitcoin Proof of Reserve ratio Amid Market Turbulence

ZKasino scam suspect arrested, $12.2M seized by Dutch authorities

Will Shiba Inu hit new highs in May? Looking into SHIB’s price fortunes

Arthur Hayes, Who Says Bitcoin's Correction is Over, Announces the Altcoins He Will Buy!

Top 5 Crypto Meme Coins You MUST Watch in May!

How Does M2 Money Supply Impact Bitcoin Prices?

Join our free newsletter for daily crypto updates!