Ethereum’s Billionaire Addresses Are on ‘Buy’ Despite ETH’s Recent Price Performance
Despite the cryptocurrency’s poor performance, whale Ethereum addresses are still stockpiling funds in the market, according to Santiment data. Ethereum has had a shaky market performance. However, the data shows that the percentage of whale-level addresses on the network remains stable.
Ethereum Revenues Drop Significantly
Although supply on the huge wallet has decreased significantly since the all-time high, it is still close to the highs. The percentage of whales on the network (21.6% of all Eth) implies that market sentiment isn’t taking a fundamental shape and that significant players aren’t fleeing the industry as many bearish observers predicted.
The significant decline in the network’s revenue is the only core reason for the recent Ethereum price collapse. Fees on the network plunged to summer 2021 levels after trade volumes on the major NFT marketplace, OpenSea, halted, and the DeFi industry’s TVL lost over 20% of locked money.
Ethereum has bounced up and down in the past few days. The price of Ethereum has dropped about 48% since its all-time high in November 2021, according to TradingView data. The reasons for this include market corrections, the decline in popularity of the NFT and DeFi industries, and risk-off financial market trends.
The crypto market, according to experts, is reflecting the increased volatility that comes with war. Even before this new turbulence, Ethereum had had a rough start to the year. Other variables, such as the crypto market following the stock market, increasingly widespread usage, and recent price slumps, are also cited as contributing to the current state of crypto prices.
Ethereum users can now transact on the Layer 2 network for as little as $0.1, according to recent reports. Investors can also have Ethereum exchanges for as little as $0.2. Transaction fees on the Ethereum network went as high as $100 during the NFT frenzy and the burgeoning DeFi industry. At the same time, the price of a mining operation was even higher at times during the NFT craze and the booming DeFi industry.
More Addresses Continue to Hold Ethereum
Blockchain analytics portal Glassnode report that there are now 71,364,788 addresses holding some amount of the second-largest cryptocurrency by market cap. The number of ETH addresses holding 0.1 ETH was 2,654,853 two years ago.
More Ethereum addresses have continued to amass the second most valuable coin. For example, the total number of Ethereum addresses holding at least 0.1 ETH surpassed 7 million for the first time.
Bitcoin, like Ethereum, has slowed in the last month following a robust November; Bitcoin reached a new all-time high of $68,000 on November 10th. The price of Bitcoin and Ethereum will almost certainly continue to fluctuate in the future, and experts’ advice for investors remains the same.
While Ether has significantly dropped in price, it still represents a lifetime return on investment of approximately 707,296%. Annually, this rate is almost 300%. However, crypto prices are extremely volatile, and it’s often advised to do your due diligence before investing.
