Whale Moves 16,449 ETH from Binance Ahead of Spot Ethereum ETF Approval

Ether price holds strong above the $3,000 threshold as anticipation for spot Ethereum ETFs in the US heightens. With the odds of the ETF listing increasing, Ethereum has seen increased whale movement.

On-chain data analytics platform Spot On Chain recently spotted an Ethereum withdrawing 16,449 ETH worth $50.3 million from Binance. This massive purchase coincides with Ethereum’s recent price rebound, suggesting that Big investors are bagging more ETH ahead of the ETF approval.

New Ethereum Whale Accumulates $50 Million in Ether

The report revealed the recent purchase was the wallet address’ first significant ETH accumulation, suggesting the investor might be a new whale. The whale has moved all the newly acquired Ether to a new wallet and continues to hold them there.

7 hours ago, a whale/institution withdrew 16,449 $ETH ($50.3M) from #Binance as the #Ethereum price rebounded to above $3,000.

This is the whale’s first large $ETH accumulation. So far, it has moved all $ETH to a new wallet and held them there.

Note that the ETH ETF is likely… pic.twitter.com/BBHOvWM3yx

— Spot On Chain (@spotonchain) July 10, 2024

This massive accumulation ahead of the spot ETH ETF launch anticipated next week suggests bullish investor sentiment on Ethereum. Most investors might already be amassing coins, believing Ethereum will mirror Bitcoin’s move following the spot BTC ETF launch.

Meanwhile, Golem Network, a decentralized computing platform, appears to have been selling its Ethereum holdings for the past five days. Lookonchain data reveals that Golem transferred 24,400 ETH worth $72 million to Binance, Coinbase, and Bitfinex on July 8. 

Later, on July 9, the protocol deposited another 4,600 ETH valued at $14.1 million to Bitfinex and Binance. Golem has moved 29,000 ETH valued at approximately $90 million on Bitfinex, Coinbase, and Binance. 

Golem amassed 820,000 ETH through an ICO in November 2016, when Ethereum traded at $10.2. Following its recent sales, the protocol currently holds 123,034 ETH.

While the purpose of the massive ETH transfers remains unknown, some speculate Golem might be either liquidating or reallocating its assets. 

Will Ethereum Price Soar After the ETF Launch?

Debates about the potential impact of the upcoming ETFs on the price of Ethereum have increased over the past few weeks. Many believe Ethereum valuation will increase as the spot ETH ETFs attract substantial institutional investment.

In a recent report, K33 Research analysts said spot ETH ETF inflows could propel Ethereum higher, outperforming Bitcoin in weeks post-launch. While Ethereum has underperformed Bitcoin over the last 12 months, K33 believes the cryptocurrency has a bullish outlook ahead.

In addition, Bitwise’s Chief Investment Officer, Matt Hougan, said the spot ETH ETF launch will transform the Ethereum investment landscape. Hougan believes spot Ether ETFs could amass up to $15 billion in inflows over their first 18 trading months. 

It’s worth noting that Bitwise is among the asset managers vying for the SEC’s approval to list a spot ETH ETF in the US. During a July 9 Bloomberg interview, Bitwise’s Chief Compliance Officer Katheren Dowling confirmed that the ETF approval is nearer. 

The ETF issuers have already submitted their S-1 amendments to the SEC, and analysts expect the regulator to endorse them sometime next week. 

Other Ethereum investment products have already picked pace, receiving $10.2 million in inflows last week as institutional interest heightens.

The products recorded a similar trend following the approval of the ETFs’ 19b-4 fillings in May. This fit has boosted investor confidence, with many anticipating even more inflows for the spot ETH ETFs when they go live.