The world of digital currencies experienced yet another significant milestone when Ethereum (ETH) breached the $3,400 threshold. Outpacing its closest rival Bitcoin (BTC), this marks the second day in a row where the second-largest cryptocurrency by market capitalization has maintained its winning streak. Moreover, the World Financial Liberty (WFL), a decentralized finance (DeFi) project linked to Donald Trump, continues to bulk up its ETH holdings.
Ethereum’s Soaring Flight above the $3,400 Mark
The digital asset market is witnessing a momentum shift toward Ethereum, which recently surpassed the $3,400 mark. The asset experienced a significant 4.4% surge within the last 24 hours, prompting market analysts to predict a bullish price trend in the forthcoming period.
Crypto-expert Ted pointed out that Ethereum has initiated its short-term expansion phase. He further anticipates that the cryptocurrency could reach a high of $4,000 before potentially experiencing a significant downturn. In addition, he also projected a potential spike to $4,500 come February, followed by a new all-time high (ATH) in March, under the assumption that WFL carries on with its aggressive Ethereum acquisition strategy.
In fact, WFL has been amassing Ethereum at an impressive rate. Earlier in the day, Ted highlighted that WFL’s wallet added another $10 million worth of ETH to its portfolio. This follows the organization’s purchase of 6,041 ETH, equating to a staggering $20 million earlier this month.
Furthermore, CEO Joseph Lubin of ConsenSys alluded to the possibility of the Trump family utilizing the Ethereum blockchain for launching new business ventures in the future. Though details regarding these projects are still under wraps, the anticipation has certainly piqued the market’s interest.
The influential crypto trader known as Altcoin Scholar provided an analysis of Ethereum’s bullish price trajectory. They identified a large ascending triangle formation on Ethereum’s weekly chart, suggesting that breaking the $4,000 resistance level could send Ethereum soaring to newer ATHs.
What’s the Sentiment Among Ethereum Whales?
Tracking the trading activity of top-tier crypto holders or ‘whales’ is an effective way to understand market sentiment around a particular cryptocurrency. Monitoring Ethereum ‘whales’ can offer valuable insights into the asset’s future price potential.
The most recent on-chain data suggests a considerable accumulation of Ethereum by these whales. Between the 10th and 17th of January, these heavyweight investors amassed over a billion dollars worth of Ethereum.
Furthermore, the addition of 13 new ‘mega whales’ each holding over 10,000 Ethereum, has reinforced the growing confidence among institutional and high-net-worth investors. The Ethereum smart contract network continues to attract new users, suggesting a healthy growth trajectory.
However, not all Ethereum whales exhibit the same bullish sentiment. One significant holder recently offloaded over 10,000 Ethereum, incurring a loss of over a million dollars. At the time of writing, Ethereum is trading at $3,422, marking a 4.4% gain within the last 24 hours.
FAQs
What is Ethereum?
Ethereum is a blockchain platform that supports smart contracts. It enables developers to build and deploy decentralized applications (dApps). Ethereum’s native cryptocurrency, ETH, is the second-largest digital currency by market cap.
What are Ethereum ‘whales’?
Ethereum ‘whales’ refer to investors or entities that hold a substantial amount of Ethereum. Their trading activities can significantly influence the price of Ethereum.
What is the importance of tracking ‘whale’ activity?
Tracking the activities of ‘whales’ allows investors to gauge the market sentiment for a particular cryptocurrency. It can provide insights into future price trends based on the buying and selling activities of these large holders.
What is the World Financial Liberty (WFL)?
The World Financial Liberty is a decentralized finance project linked to Donald Trump. It has been significantly accumulating Ethereum, thereby influencing its market dynamics.
