As volatility in the cryptocurrency market intensifies, Ethereum price It has plummeted and is dangerously close to the $2,000 level. Although there is speculation that the ongoing trend resembles a bear market phase, investors appear unfazed by the sharp decline in ETH prices and the accumulation shows no signs of slowing down.
Investor Action After Ethereum Falls Below Realized Price
After a sharp decline on Tuesday, Ethereum The price has now fallen below the key level considered as realized price. Despite the steady decline in prices, investors are moving in the opposite direction, as evidenced by their continued interest in major altcoins.
Related Reading: Ethereum Holders Rise 3% in January, Hit 175 Million Milestone
according to According to market expert and investor CW, investors are steadily piling up altcoins even as ETH is trading below realized prices, leaving a significant portion of the market in unrealized loss territory. On-chain data will continue Accumulation from large holders or whales And these are faith-based buyers.
What’s interesting about whale behavior is that these investors are steadily accumulating Ethereum even while taking losses. Large investors carrying unrealized losses are still buying, a pattern typically associated with increased stress and changes in sentiment across the network.
Despite the current downtrend, ETH inflows to cumulative addresses have also increased. CW emphasized that Ethereum reached this level in April of last year, but quickly recovered and then rose again. Whales’ purchasing power remaining intact means the group finds the current price attractive. As a result, A significant rebound in the price of ETH is expected in the near future..
ETH, growing interest in social media
Ethereum may be struggling with volatility, but the leading altcoin is seeing increasing interest from investors and social media participants. This is due to its potential as a deflationary asset due to price fluctuations, investment strategies, staking, and upgrades and mergers such as EIP-1559.
Related Read: Here’s How Ethereum Staking Turns into a Billion-Dollar Betting for Bitmine Immersion.
data According to research by Santiment, a popular on-chain data analytics company, ETH is commonly mentioned in flash trading and cryptocurrency trading services, highlighting its use on platforms such as Binance, MetaMask, and Trust Wallet.
The increase in social media mentions of ETH is large-scale purchasing activity With Bitmine. The company recently purchased a large amount of ETH, demonstrating its firm confidence in the future of altcoins despite continued market volatility and unrealized losses.
C.W. reported The company acquired an additional 20,000 ETH through FalconX, worth approximately $46.04 million. With this purchase, Tom Lee’s Bitmine now boasts over 4.305 million ETH, worth a whopping $9.99 billion, or about 3.56% of the total ETH supply.
Despite these staggering numbers, Bitmine’s goal is to own 5% of the total ETH supply. Bitmine remains the world’s largest Ethereum treasury company with 2.87 million assets. ETH holdings locked in staking. Other coins owned by the company include Bitcoin, of which there are over 193 coins.
Featured image from Pexels, chart from Tradingview.com
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