Large amounts of Ethereum are being traded as previously dormant whale accounts awaken after a five-year slumber.
On December 19, the on-chain analysis Twitter feed ‘Lookonchain’ reported that two dormant Ethereum addresses had resurfaced.
The addresses had been inactive for five years before being reactivated on December 18. The whale addresses sent out two transfers totaling 22,983 ETH. The transfers were worth more than $27 million at current prices.
According to other analysts, it went to new wallets, with no outflows elsewhere as of yet. With few details available, it was unclear what the transfers were about or who the ETH whales were.
Furthermore, these whales are not the only ones who are transferring Ethereum. Lookonchain also reported that Three Arrows Capital (3AC) transferred a significant amount of ETH on December 19. Today, 2,000 ETH worth approximately $2.38 million was withdrawn from Binance. It also stated that the 3AC address still has 6,595 ETH worth approximately $7.85 million.
Yesterday, 23,758 ETH worth $28 million was transferred from Bitfinex to an unknown wallet, according to the Whale Alert tracker.
In 2023, Ethereum has some significant developments planned. Withdrawals from staking will be available in the first half of the year. However, if investors need to sell the asset quickly, this could put more downward pressure on prices.
On the Beacon Chain, there are currently 15.66 million ETH staked. At current prices, this is worth about $18.5 billion. Furthermore, Ethereum issuance has recently been low.
Another enhancement is the use of EIP-4844 for proto-danksharding. This is expected in the second half of the year and will reduce rollup fees by 10 to 100 times.
Unfortunately for investors, Ethereum prices fell again over the weekend. At the time of writing, ETH had dropped from last week’s highs to $1,180.
Furthermore, the asset has dropped 8% in the last two weeks as crypto markets continue to fall. However, these are small movements, and Ethereum has been range-bound since the FTX collapse in early November.
ETH has dropped nearly 76% from its all-time high of $4,878 in November 2021.
