The cryptocurrency market, notorious for its volatility, has once again proven its erratic nature. Following the colossal “Black Monday” crash that sent Bitcoin prices plunging below the $75,000 mark, the world’s largest cryptocurrency seems to be on a path to recovery. As of this writing, Bitcoin is trading at approximately $78,568, showing signs of a tentative resurgence.
However, Ethereum bore the brunt of the downturn more severely. The second-largest cryptocurrency in terms of market capitalization dropped below $1,450, a level it hasn’t touched in quite some time.
Amidst this tumultuous landscape, the actions of the so-called ‘crypto whales’ – investors who hold a large number of cryptocurrencies – have come under the spotlight. Data provided by crypto onchain data providers offer an intriguing insight into their trading strategies during these downturns.
According to the available data, two crypto whales reportedly made significant purchases during the market’s lowest point today. They purchased 15,191 ETH valued at $23.94 million. The first of these whales has been accumulating ETH since February 11, 2024, totaling $57 million worth of ETH at an average price of $2,343. As of the time of writing, this whale has incurred a loss of $19.36 million.
The second whale has been steadily buying ETH over the past six days at an average cost of $1,709. The losses from these purchases currently stand at $3.6 million.
Meanwhile, there are indications that one of the early investors who took part in Ethereum’s initial coin offering (ICO) might have been spooked by the market’s sharp drop. This investor, another crypto whale, transferred 7,000 ETH worth $10.21 million to the crypto exchange Kraken following the crash. This whale currently holds 23,070 ETH valued at $34.5 million.
In the Bitcoin domain, another whale transferred $5 million worth of stablecoins to the decentralized cryptocurrency exchange, Hyperliquid. Here, the whale opened a long position at $77,231 with a 20x leverage. However, the whale, identified by the short address 0xe41, closed his position at $77,100, thereby incurring a loss, as per the data provided by Hyperliquid.
It’s crucial to remember that though the actions of these whales provide valuable insights, they are not to be considered as investment advice. The crypto market’s volatile nature necessitates careful consideration, comprehensive research, and calculated risk-taking. It’s always recommended to consult with a financial advisor before making any investment decisions.
