- BlackRock bought $109.9 million worth of ETH, boosted by the latest price drop.
- A slight accumulation is observed, particularly on the whale side, but retail trade remains fearful.
With the recent price drop in Ethereum (ETH), one might expect buyers to return to the market.
Unless increased selling pressure is expected in the coming days, ETFs have been driving up demand for ETH, so it is essential to follow their activity.
Recent data has shown that bears are retreating after their aggressive assault on the market last week. Some Bitcoin (BTC) ETFs are taking advantage of this, such as BlackRock, which bought $109.9 million worth of ETH on August 6.
This is a significant increase compared to the amount purchased by Blackrock the day before.
Source: farside.co.uk
Blackrock had already paused its accumulation on August 2, as selling pressure intensified. It resumed on August 5, during which it added $47.1 million worth of ETH.
Net buying pressure reached $98.4 million on the day, up from $48.8 million the previous day.
This rise over the last two days signals the return of confidence after the recent crash. It also indicates that ETFs are capitalizing on the discount in ETH price.
However, most other ETH ETFs lagged or added smaller amounts.
On the other hand, the most notable fund is the Grayscale ETHE ETF, which has seen outflows. It is also the ETF with the highest annual fee, at 2.5%.
It contributed $39.7 million to the selling pressure during the August 6 trading session.
Sales were down significantly compared to the last week of July, indicating a lack of interest in discount sales.
Is ETH Accumulation Gaining Momentum?
ETH has undoubtedly seen a resurgence in selling pressure over the past couple of days. But how much buying pressure is there right now?
We compared ETH concentration before and after the crash, and here’s what we found.
Just seven days ago, whales held 56.66 million ETH, investors held 12.2 million ETH, and retail traders held 65.43 million ETH. This represented 42.19%, 9.09%, and 48.72%, respectively.
The latest data indicated that whales held 57.13 million ETH, investors held 11.93 million ETH, and individuals held 65.39 million.
Source: IntoTheBlock
The above results indicate that whales increased their holdings during the decline. Retail investors and traders, at press time, held less ETH than a week ago.
We also decided to explore the address pools to determine what class of whales were accumulating.
Source: IntoTheBlock
Read Ethereum (ETH) Price Prediction 2024-25
Our results revealed that five addresses held more than 1 million ETH in the last 30 days. The number of addresses holding between 100,000 and 1 million ETH decreased from 93 to 92.
Addresses between 10,000 and 100,000 ETH lost 32 addresses. The category of addresses holding between 10 and 100 ETH saw a net positive result of 281,750 addresses to 282,530 addresses.
