Giant whales are ready to dump over $120 million worth of ETH to profit from the ETH ETF launch speculation.
Some Ethereum (ETH) whales have positioned themselves to benefit from US spot ETH ETF speculation, which is set to launch on July 23. About $122 million worth of ETH has been moved to centralized exchanges (CEXes) for sell-offs from three whales.
According to the on-chain analysis platform Spot On Chain, $89 million ETH has been moved to Binance and OKX exchanges in the past 9 days.
Photo: Spot On Chain
During the early London trading session on 22nd July, another whale transferred $33.6 million worth of ETH to Coinbase. That brings the recent ETH whales pending dump to over $122 million just before a likely ETH ETF launch on Tuesday.
Will a Surge in ETH Exchange Inflows Drag Prices?
Despite the pending ETH whale dump, the overall amount of ETH held by exchanges was still negative, as shown by the Exchange Net Position Change metric. A negative value indicates net outflow or more ETH moving out of exchanges than in.
Photo: Glassnode
The above reading suggested an uptick in buying pressure or users moving ETH to personal or cold storage. On the other hand, a positive value would suggest more ETH flowed into CEXes than out, denoting a potential selling pressure. So, based on press time reading, net outflows pointed towards a slight bullish expectation ahead of the launch on the spot markets.
However, the sentiment was bearish on the derivatives sides of the ETH market, as shown by the Taker Buyer Sell Ratio dipping below 1. A value below 1 indicated more sell volumes than buys on the derivatives markets.
Photo: CryptoQuant
This could delay extra short-term price recovery for the largest altcoin if the metric remained below 1.
Meanwhile, ETH rallied 8.9% in the past week and retested the $3,500 level. The recovery followed a broader market relief after dipping below $3000.
However, the recovery stalled near $3.5K as the market waited for the launch and trading of the US spot ETH ETFs. With some ETH whales ready to dump significant holdings ahead of the launch, it remains to be seen how the ETH price will react in the short term.
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