Cryptocurrency analyst Ali Martinez took to Twitter to highlight a subtle but significant shift in the Ethereum (ETH) market. According to Martinez, Ethereum whales, a term used to describe large cryptocurrency holders, appear to be embarking on a slow accumulation journey, marking a significant deviation from the intense selling observed over the past two months.
The tweet, posted by Martinez, hinted at a changing tide in the Ethereum landscape. ETH has faced volatility in recent months, with its price experiencing fluctuations that have kept investors on their toes. With this latest observation, attention has shifted to the behavior of the cryptocurrency’s prominent holders.
Fueling speculation, the Whale Alert crypto tracker, renowned for its real-time monitoring of large cryptocurrency transactions, has identified two colossal ETH transfers originating from the major exchange Bitfinex. The first transaction involved a staggering 21,229 ETH, valued at an impressive $42,454,140. Shortly after, a second transfer of 19,764 ETH, equivalent to $39,157,392, was also spotted.
Of particular note is that the latter sum was directed to a previously unknown wallet, emphasizing the strategic nature of these transactions. The discernible pattern indicates that these acquisitions were swiftly withdrawn to cold wallets, indicating a long-term storage strategy by the involved parties.
This accumulation trend, if sustained, could have far-reaching implications for Ethereum’s market dynamics. As the crypto ecosystem continues to rise, the actions of these influential whales serve as a barometer for market sentiment and potential future trends.
Ethereum Network’s Q3 Performance
Besides this, as per the recent findings presented in the Messari report, the Ethereum network experienced a notable decline of 47.3% in third-quarter (Q3) revenue compared to the previous quarter. Despite this downturn, Ethereum still retained a significant share, contributing nearly 91% to the overall revenues generated by layer 1 (L1) protocols.
The study highlights that among the L1 protocols analyzed, only Avalanche (58.1%) and Polygon (55.6%) exhibited more pronounced decreases in revenue than the Ethereum network. The cumulative revenues from the 17 examined L1s witnessed a substantial decline of 46.7%, equating to a reduction of $491.5 million.
Simultaneously, the market capitalization of all L1s experienced a decline of 9.8%, concluding the quarter at $272.6 billion. Despite the challenging quarter, the report emphasizes that the Ethereum network’s dominance remained largely unaffected during this period.