Ethereum Sees Increased Buying Pressure By Whales As 'The Merge' Fuels Gains
Following the gloomy days of the previous month, the crypto community seems to be experiencing a breath of fresh air as assets stage a comeback against the bear market. ETH holders appear to be the most positive of the bunch, especially as the Merge approaches, with whale addresses accumulating in anticipation of the revolutionary event.
Whale address accumulation is sitting at 22.26%
According to a chart provided by blockchain and cryptocurrency market analysis platform, IntoTheBlock, ETH whale address holdings have risen to 22.26% in the past month, indicating signs of an accumulation. This is an encouraging improvement from the 21.2% recorded in late June when the Crypto Winter was at its coldest, with ETH tumbling below the $1000 mark.
The increase in whale address holdings began at the start of the month, which saw the markets struggle to regain the losses of June. A peak of 22.41% was reached in mid-July – the highest the metric has shown since April of this year. However, there was a slight drop to the current 22.26% mark, as ETH trades above $1.5k.
With The Merge slowly becoming a reality and the recent revival of the markets, sentiments are now looking positive. This has led to an increased accumulation rate as investors aim to position themselves for an imminent upsurge.
Furthermore, as ETH trades above $1,500, data reveals that 60% of ETH holders with a cumulative amount of 6.06M ETH are currently in profit. While 40.46% are currently suffering a loss, a meager 0.33%, holding 34.27K ETH, are at a break-even point.
ETH’s Coinbase Premium Index is looking positive
The Merge, which aims to transition the ETH mainnet from a PoW chain to a PoS chain has remained the most anticipated event in the crypto community. The Ethereum team has fixed September 19 as the date for the update, with the final trial set to take place on the Goerli network slated for mid-August.
In anticipation, co-founder and managing partner at Riseinvest, Vivek Raman, mentioned a few things the community should expect after the Merge, including but not limited to a drop in ETH inflation rate and higher security on the Ethereum blockchain.
With the benefits awaiting ETH holders as they near the end of the journey to the Merge, a good number of investors have remained inspired to HODL their assets, and more are accumulating. The recent movement from the market has further improved sentiments: ETH’s Coinbase Premium Index is looking positive, showing a high buying pressure on US institutional investors. As of press time, ETH trades at $1,564, having gained by 43% in the past seven days.
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