A number of Ethereum (ETH) addresses have transferred 150,000 ETH (worth $297 million) after keeping their coins dormant since late 2018.
Santiment Analyzes The Movement of Aforementioned Ethereum Whales
Analyst company Santiment examined the transfer of these whales in its latest report.
According to analysts, such a move is usually indicative of large price changes in the positive direction. An increase in dormant circulation, the fifth-highest figure in the past six months, according to Santiment, could indicate that a bottom price level is imminent.
According to the report, the two whales had amassed 150,000 ETH in November 2018 and recently emptied their entire supply. According to analysts, this situation cannot be said to be bad for sure. Santiment said the whales may have known something, given the dates they chose to accumulate Ethereum and empty their wallets.
The report also highlights the "average dollar investment age line", which refers to the average age of investments in a particular cryptocurrency. A younger average age of dollars invested is generally considered more positive for a bull pattern, according to analysts.
This is because when the average age of investments is younger, it indicates that more new investors are entering the market, which can increase demand and cause prices to rise.
In his analysis, Santiment said that the drop in the average dollar investment age line, as experienced last week, could be an additional indicator of an impending positive price shift. Together, these factors suggest that the recent surge in dormant circulation on the Ethereum network could potentially lead to a market rebound and upward price action in the near future.
*Not investment advice.