A significant Ethereum whale deposited 3,000 ETH, valued at $7.63 million, to Kraken. This massive transfer comes as the ETH/BTC pair plunges to new lows, signaling growing bearish sentiment in the market.

Ethereum Whale Deposits 3,000 ETH After Dormant Period

Reports from Spot on Chain indicate that an Ethereum ICO participant finally made a deposit to the cryptocurrency exchange Kraken after over four months of dormancy. The deposit was 3,000 ETH, or $7.63 million, Coingape shares.

At the Genesis block in July 2015, the participant received 254,908 ETH, which was worth only $79,000 back then. During the initial coin offering (ICO), the Ethereum whale bought ETH coins for around $0.31 per. This whale has 37,070 ETH, or around $94.3 million, in their possession at the moment.

Vitalik Buterin’s Updates Fail to Halt Whale Activity

Recent whale dumping occurs despite Vitalik Buterin, co-founder of Ethereum, revealing important ecosystem changes that will increase transaction speed and decrease gas expenses.

Just the day before, he had mentioned how the "The Verge" update would lower hardware needs while allowing all devices to access node functions. However, the price of Ethereum has not responded favorably despite this. 10X Research highlighted in its most recent report:

"A series of overly academic articles from Ethereum founder Vitalik Buterin, combined with declining revenues, has contributed to Ether’s price correction amid resurfacing macroeconomic challenges."

ETH/BTC Pair Plummets as Ethereum Loses Ground

According to technical analysis, the world's largest altcoin, Ethereum, is failing to gain traction in comparison to its competitor, Bitcoin. Benjamin Cowen, a prominent crypto expert, has noted that the Ethereum/Bitcoin pair has just surpassed its prior low. According to him, the next potential objective might be around 0.036 if the support level around 0.038 fails to hold.

Ethereum Price Decline Continues Despite Whale Activity

According to Cowen, the cycle's bottom will be reached either before the year ends or, at the latest, during the second week of January. Amidst the activities of Ethereum whales, the price of Ethereum is currently trading 1.96% lower at $2,527.11 with a market worth of $304 billion.

Historical Patterns Indicate Further Declines

Reminiscing about 2016, ETH saw significant drops in value in August, December, and April. Similarly, ETH lost a lot of value in April and August of 2024, so Cowen thinks it's likely that the price will fall again before the year ends, with the lowest point perhaps being in December.

Furthermore, unlike the massive inflows into Bitcoin ETFs, the demand for spot Ethereum ETFs is still somewhat muted.