$90M ETH Whale Transfer Spooks Market with Dump Fears

• An Ethereum whale in significant profit has moved for the first time in six years.
• The whale’s large ETH transfer has stirred fears among some market participants.
• Analysts, nonetheless, remain bullish, setting higher price targets.

Moving in lockstep with Bitcoin (BTC) , the price of Ethereum (ETH) has experienced a significant surge in the past 24 hours to break above the $2,200 price level for the first time since May 2022. While recent price moves have renewed belief in the strength of a potential bull market, a significant exchange deposit from an early ETH whale in significant profit has sparked concern.

$90M ETH Lands on Kraken

On Tuesday, December 5, crypto smart money tracker Lookonchain reported that an early Ethereum investor had moved for the first time in six years, sending a staggering 39,260 ETH (worth approximately $87.5 million) to Kraken .

The move has unsurprisingly raised concerns of a potential sell-off as whale movements can preempt big market moves, and exchange deposits typically indicate an interest to sell. These speculations are heightened by the nearly $80 million in unrealized profit held by the whale, who purchased their holdings at $240 per ETH.

While the whale’s identity is unclear, a check on the wallet on Arkham Intelligence revealed that it interacted with a wallet suspected to be controlled by Cumberland DRW, a crypto trading firm, in March 2023. Cumberland DRW has yet to return a DailyCoin request for comment at the time of writing.

Despite the nerves sparked by the $90 million ETH transfer, the asset remains relatively stable even as chart analysts anticipate a greater move upward.

$3K Next for ETH?

In an analysis shared on X on Monday, December 4, prominent technical analyst “Duo Nine” asserted that ETH was heading to $3k next, describing the move as “inevitable.” He based his analysis on Ethereum’s break of an ascending triangle pattern to the upside on the three-day candlestick chart. 

Meanwhile, Duo Nine is not the only analyst feeling bullish about Ethereum. Ali Martinez recently suggested that Ethereum’s upward run was just getting started. According to the analyst, the $2,000 price level presented a good buying level for ETH as more than 43 million holders bought at this level, according to data from IntoTheBlock. This data suggests that the asset will unlikely face significant selling pressure at the $2,000 price point.

ETH is trading at the $2,199 price point, according to CoinMarketCap data at the time of writing.

On the Flipside

• The reason for the exchange deposit remains unclear.
• Ethereum is about 55% below its all-time high of $4.9k at the time of writing.

Why This Matters

Whale movements can preempt big market moves. Consequently, a recent $90 million Kraken deposit from an Ethereum whale has sparked concerns. Analysts, however, believe that ETH remains in a strong position and is likely to move higher.

Read this for more on ETH whale movements:
Justin Sun, Buterin Move ETH Amid BlackRock-Induced Rally

Learn more about the record crypto fund inflow streak:
Crypto Funds Hit 10-Week Inflow Streak on Continued ETF Hope