Ethereum whales bought $254m ETH despite rise in exchange inflows

Ethereum whales accumulated the asset as it surged above $2,600 despite a notable increase in currency inflows, triggering mixed signals.

According to data provided by IntoTheBlock, Ethereum (ETH) large investor inflows nearly doubled last week, with net inflows of 97,220 ETH recorded on October 15, valued at approximately $254 million at the current price point.

Large conservative net flow – October 16 | Source: IntoTheBlock

According to ITB, an increase in an asset’s whale net flow indicates accumulation and vice versa.

Meanwhile, the Ethereum exchange’s net flows also shifted from a net outflow of 5,700 ETH on October 13 to a net inflow of 15,000 ETH yesterday. This movement shows that investors are aiming for short-term profits.

On-chain data shows that ETH recorded an exchange net inflow of $8.88 million last week.

This change can be considered normal, considering that ETH price rose from the 2,400 region and exceeded $2,600 after two weeks of bearish consolidation.

The chart shows major profit-taking momentum between 14:00 UTC and 15:00 UTC on Tuesday as Ethereum fell rapidly from its local high of $2,685 to $2,540. Approximately $16.6 billion was wiped from ETH market cap within an hour.

ETH price – October 16 | Source: crypto.news

Despite increased short-term profit taking, ETH is still hovering above $2,600 at the time of writing. The leading altcoin has a market cap of $313 billion with a daily trading volume of $22 billion.

Ethereum still lacks a strong catalyst to continue its bullish momentum. US-based spot ETH exchange-traded funds are also performing poorly. These investment products recorded a net outflow of $12.7 million on October 15, while spot Bitcoin (BTC) ETFs recorded a net inflow of $371 million.

Australia-based Monochrome Asset Management launched the first spot ETH ETF in the country on Tuesday, according to a Crypto.news report. The fund currently has total net assets of only $272,908.

Leave a Reply

Your email address will not be published. Required fields are marked *