Whales increase their stake in Ethereum: a look at the numbers

Despite the current market situation and volatility in the crypto market, cryptowhales are holding on to and even increasing their Ethereum (ETH) holdings. The latest on-chain data from CryptoQuant shows that the number and volume of ETH holdings held by major investors has increased significantly since early 2023.

Since Ethereum ETFs were approved by the SEC on May 23, about 850,000 ETH worth about USD 3.1 billion have been taken off the exchange. Addresses with more than 100,000 ETH have more than doubled their holdings, while addresses with between 10,000 and 100,000 ETH have more than tripled their holdings over the same period. These significant purchases suggest that the Whales expect a price increase due to the potential trading launch of the ETFs.

Staking rise to new record

At the same time, Ethereum's staking continues to rise, reaching a new all-time high of just over 27 percent in May, according to data from CryptoQuant. This leads to an additional scarcity of available ETH supply. Because staking is not integrated into the Ethereum spot ETFs applied for - the SEC has informed issuers that staking stock would be a hindrance to approving applications - staking ETH stock will not be included in any ETF purchases. This further reduces the available supply for the ETFs.

These developments could have a lasting impact on the Ethereum price. Mass purchases by Whales and increasing staking add to the shortage of available ETH supply and could increase pressure on the price. If demand increases as a result of the start of ETF trading, these factors could lead to a price rally.