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Ethereum Whale Buys $39M Amidst Market Dip

Ethereum Whale Buys $39M Amidst Market Dip

Ethereum

A substantial Ethereum transaction defied recent market volatility, with a high-net-worth investor accumulating $39 million in ETH. This significant purchase occurred amidst a sell-off sparked by escalating tensions in the Middle East and broader risk aversion.

Whale Activity Defies Market Downturn

The wallet address, 0x7355…213, acquired approximately 9,400 ETH in two separate transactions on June 22nd. This purchase increased its total ETH holdings to $330 million.

This bullish activity is noteworthy given that Ether significantly underperformed Bitcoin during this period. ETH dropped by approximately 12.80% in 24 hours, reaching lows of $2,155, while Bitcoin experienced a 4.70% decline.

The market reacted to reports of a US military strike on Iran, intensifying the existing Israel-Iran conflict and fueling risk-off sentiment among investors.

ETH/USD vs. BTC/USD four-hour price chart comparison
ETH/USD vs. BTC/USD four-hour price chart comparison. Source: TradingView

Buy-the-Dip Strategy?

The whale's actions suggest a strategic "buy the dip" approach, capitalizing on the temporary price decline. This is further supported by data showing increased net positions among Ethereum mega-whales (holding 10,000 ETH or more) on June 21st, accumulating over 116,893 ETH ($265.30 million).

Ethereum mega-whale net position change (10k+)
Ethereum mega-whale net position change (10k+). Source: Glassnode

Potential for Ethereum Rebound

Technical analysis suggests a potential 25% rebound for ETH, targeting $2,735. This prediction is based on the price holding above a key ascending trendline, a pattern that previously led to a significant rally.

ETH/USD daily price chart
ETH/USD daily price chart. Source: TradingView/Sensei

Disclaimer: This content is for informational purposes only and does not constitute financial advice. Conduct thorough research before making any investment decisions.

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