UpdatesAug 29, 2022

Ethereum Whales transfer ETH before The Merge

Big investors of well-known cryptocurrency send their Ethers to crypto exchanges.

Before the upcoming September update called The Merge, we can see that the Ethereum whales have started to transfer significant ETH volumes to exchanges. According to analysts, this phenomenon may reflect, among other things, the bearish sentiment around this virtual currency. The most common situation for investors to send their crypto assets to trading platforms is when they want to take profits from selling them.

Whales are allocating increasing amounts of ETH to crypto exchanges

ETH's big boys have been intensely targeting their assets to trading platforms for some time. According to data from the popular analytical platform Santiment, whales transferred significant amounts of ETH to exchanges over the past quarter.

This state of affairs is best illustrated by the following data. While the balances of the top 10 external addresses where the second-largest cryptocurrency is stored decreased by 11%, the amount of Ethers stored at the top 10 exchange addresses has increased by an exorbitant 78%.

According to experts, the data may reflect the bearish sentiment among the owners of the largest competitor to Bitcoin (BTC). It is no secret that in the crypto world, investors tend to transfer their crypto assets from external wallets to trading platforms when they want to take profits.

The massive sell-off is likely to lead to another weakening of the Ether rate. According to most analysts, it is possible that the positive emotions around The Merge may gradually fade away. While the market started to boom after the official date for this update was confirmed, the break above $ 2k on the ETH chart was only temporary. There was a quick correction of the quotation of this cryptocurrency, the price of which is currently around USD 1.6 thousand.

The current situation on the Ether chart

A dozen or so days before the implementation of The Merge, the second largest cryptocurrency trades sideways. Over the past week, its price has fluctuated slightly between $ 1.5 thousand and $ 1.6 thousand.

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