While the rise of bitcoin captures all attention, an Ethereum whale has just made a monstrous profit. It made a profit of $78 million on an initial investment of $11 million. Great performance, indeed. A look back at the circumstances of this feat and the consequences that this massive sale may have on the expected bullish cycle on the crypto market.
838% return on an ETH investment: crypto moving forward
The information was published by the crypto analysis firm LookonChain this Friday, December 8. A crypto wallet had received 47,260 ETH from June to August 2017, which was equivalent to $11.34 million. At that time, one ether was worth around $240. From that date to date, ETH has grown by 838% and the value of the crypto continues to climb.
According to data collected by LookonChain, the crypto whale has remained dormant since that moment. It could have woken up in November 2021, when ether reached the ATH of $4,878.26. His assets would then have been worth nearly $230 million.
Last December 5, after almost six years of inactivity, the whale finally woke up. According to LookonChain data, she transferred 39,260 ETH to the Kraken crypto exchange. With ETH hovering around $2,370, the 39,260 ETH is now worth $87.5 million. The wallet owner may be planning to sell their ETH holdings on Kraken.
If he decides to do so, he will make a profit of nearly $78 million. Such a return in six years of investment is simply enormous. But this could pose a big problem for the crypto ecosystem.
The ETH whale could jeopardize the bull cycle if it sells its cryptos
Currently, all eyes are on the next bull cycle. Crypto analysts agree that the year 2024 will be characterized by a bull market. If the whale decides to sell its 39,260 ETH, the transaction will undoubtedly create a big panic on the crypto market. This risks undermining the expected bull market.
So let’s hope that she won’t decide to sell right away. In any case, it is in her interest not to rush, because according to certain analyses, ETH could reach $10,000 in 2024. Her gain would then be around $500 million.
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