An Ethereum whale who participated in the ICO reportedly moves more than 61,000 ETH tokens to the Kraken crypto exchange after being dormant for over 8 years. Lookonchain – a blockchain data provider, reported that the whale returned to action after an eight years break, depositing a total of 61,216 ETH to Kraken.
— Lookonchain (@lookonchain) July 19, 2023
This whale participated in the Ethereum Initial Coin Offering (ICO) which took place in 2014. The ICO was an event to raise funds to develop the Ethereum project. During the ICO, participants were able to secure ETH for as low as $0.31 per token.
The ETH ICO was one of the major significant coin offering events to have happened in the crypto world. Over the past 9 years, the value of ETH tokens has increased exponentially compared to the initial price of $0.31 during the ICO. It is important to note that ETH is currently selling at $1,910 which represents a massive increase in value for those who successfully held their tokens for that long.
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This would not be the first time a previously dormant whale comes back to move a significant amount of Ethereum. On June 26, 36crypto reported that a dormant whale resurfaced after 6 years to move 7,998 ETH tokens (worth $15.2 million at press time).
Impact of huge transactions
The sudden comeback of these whales can be a result of several factors including the desire to get profits after a significant price increase, a change in their investment strategy, or maybe a need for liquidity.
Whatever the reason, the movement of these whales can significantly impact the market dynamics and investor sentiments. When huge amounts of tokens like these are transferred, it can consequently cause notable price volatility due to the size of the transactions.
Meanwhile, live data from CoinMarketCap shows that the price of ETH today is $1,910. ETH is the second largest cryptocurrency in the world by market cap, therefore it is ranked #2 on the cryptocurrency chart. What’s more, the price of Ethereum is up 0.71% in the last 24 hours and it has a live market cap of $229,678,810,657 ($229 billion).