Second-largest cryptocurrency Ethereum (ETH) has plagued over 65% since the beginning of 2022. Investors’ sentiments on the price are mostly bearish, likewise the outlook for the entire market, considering the liquidity crunch plaguing the industry. However, if previous market history is to repeat, Ether might see a 50% increase from the current price.
Ethereum Sharks and Whales are strong-buying again
At current prices, shark and whale addresses are strongly accumulating Ether again, according to market information by Santiment. The on-chain metrics platform reported that Ethereum addresses holding between 100 and 100k coins accumulated 1.9% of ETH circulating supply within three weeks. This represents over 2.32 million ETH.
A similar activity was last observed in October/November 2020, with Ether trading at a three-digit value. In just about five weeks, the shark and whale addresses bought more than 2.1% of ETH’s circulating supply. This phase of strong accumulation preceded a 50% increase in Ether’s price then.
While it’s apparent that cryptocurrency prices are stalled by the ongoing market chaos and tightening monetary policies, Ether might see more or less a similar increase if the market trends are to repeat.
Open Interest in Ether increases, while Bitcoin trails
Amid whale accumulation, Open Interest in Ethereum’s futures has also risen by 2.58% over the past 24 hours, according to Coinglass data. This is somewhat indicative of market interest and capital flow to Ether. Binance tops the chart with $1.96 billion worth of OI, followed by OKEx and Bitget with over $905 million and $788 million, respectively.
In the same timeframe, the largest cryptocurrency Bitcoin trails with a negative 1.94% change in futures Open Interest.