Ethereum Billionaire Wallets Hold Largest Supply Since 2016, Will ETH Price Rally?

The world’s second-largest cryptocurrency Ethereum (ETH) has been under some selling pressure and trading 1.21% down at a price of $1,570 and a market cap of $188 billion.

Ethereum Whales In Action

ETH has been under selling pressure for a while and has been failing to break past the resistance of $1,600. However, the Ethereum whales are making the most of the opportunity. As per on-chain data provider Santiment, Ethereum billionaire wallets have their holdings touch a 7-year high.

Whale addresses on the Ethereum network, characterized by holdings of at least 1 million ETH, currently possess 32.3% of the total supply. This marks the first time such a significant concentration has occurred since 2016. Furthermore, transactions exceeding $1 million in value experienced their second-highest daily volume in the past five weeks. These developments are indicative of a historic moment in Ethereum’s trajectory, reported Santiment.

Recently, there’s been a major buzz over Ethereum co-founder Vitalik Buterin sending large amounts of coins to the exchanges. This development has also kept the ETH price under selling pressure for a while However, Buterin recently clarified that all those coins that he has been selling recently have been only for charity and donations and not for his personal gains.

ETH Price Action

Ethereum’s price, currently at $1,568, recently rebounded from the support level of $1,533, resulting in a slight increase. However, the cryptocurrency encountered resistance at the 50-day Exponential Moving Average (EMA), hindering its progress toward reclaiming the $1,686 resistance as a support level.

Nonetheless, there’s still potential for Ethereum’s price to recover, as indicated by the Relative Strength Index (RSI). The RSI hovers around the neutral mark at 50.0, within the bearish zone, but a further uptick could flip it into a support level, confirming a bullish signal.

On the contrary, if the bullish signal doesn’t materialize and the $1,533 support is breached, the Ethereum price may drop below the $1,500 mark, invalidating the bullish outlook