Ethereum News Today: Ethereum Investor Moves $2.96M to Kraken After 4,803% Gains as Whale Exits Signal Off-Exchange Shift

An early Ethereum investor, inactive for over four years, recently reappeared on the blockchain by transferring 800 ETH (worth $2.96 million) to Kraken. The investor, who originally purchased 8,950 ETH during Ethereum’s 2014 initial coin offering for just $2,783, still holds 1,780 ETH valued at $6.66 million, resulting in a total profit of $13.36 million and a 4,803% return on investment [1]. The transaction, tracked by Onchain Lens, highlights a significant shift in the investor’s strategy after a prolonged dormancy period.

Coinciding with this move, a separate Ethereum whale withdrew 12,341 ETH ($45.6 million) from Kraken over eight days, with the most recent withdrawal totaling 2,672 ETH ($9.87 million). These large-scale withdrawals have occurred alongside Ethereum’s price hovering above $3,600, a level it has maintained for weeks. The activity underscores a broader trend of off-exchange accumulation, as institutional and high-net-worth participants increasingly transfer holdings to personal wallets or custodians [1].

Netflow data from June 28 to July 23 reveals a dynamic market cycle. Between June 28 and July 5, Ethereum saw consistent outflows ranging from $10 million to $50 million, with the token trading below $2,400—a period analysts associate with bargain hunting. This shifted dramatically on July 6, as inflows surged to $150 million, coinciding with ETH breaching the $3,000 threshold. However, from July 17 to July 23, outflows resumed, peaking at $100 million+ per day as the price dipped slightly from its July 20 high of $3,900 to $3,705 [1].

The sustained outflows despite a near-$3,700 price suggest a bearish sentiment toward short-term volatility, yet long-term bullish positioning remains intact. Large holders are strategically moving assets off exchanges, either to secure gains or hedge against potential regulatory actions. This behavior aligns with historical patterns where major price corrections are often preceded by significant off-exchange accumulation [1].

The market’s resilience amid these withdrawals indicates a possible divergence between on-chain activity and price trends. While retail investors may interpret the outflows as a sign of profit-taking or risk aversion, the continued strength in Ethereum’s valuation—despite elevated outflows—suggests confidence in the asset’s long-term trajectory. Analysts note that the interplay between whale activity and price stability could influence future market dynamics, particularly as Ethereum approaches critical price levels and potential upgrades [1].

Source: [1] [Ethereum ICO Buyer Surfaces After 4 Years, Moves $2.96M ETH to Kraken] [https://cryptofrontnews.com/ethereum-ico-buyer-surfaces-after-4-years-moves-2-96m-eth-to-kraken/]