Growing Speculation Around ETH Price Surge
The cryptocurrency market is buzzing with speculation regarding an upcoming ETH price surge, driven by an increase in new Ethereum wallets and the growing interest of whales in the asset. As the second-largest cryptocurrency by market capitalization, Ethereum appears poised for a bullish trend.
Unusual Activity Among Large Ethereum Wallets
As the US elections approach, large Ethereum wallets have exhibited unusual activity, particularly since October 24, according to data from on-chain analytics firm Santiment. Despite a recent price correction that brought ETH down to $2,380, institutional investors continued to accumulate the asset.
Surge in New Crypto Wallets
The speculation around a price surge is further supported by a remarkable increase in the number of new crypto wallets this month. At one point, 6,428 new wallets were created in a single day, marking the highest daily count since early September.
Long-Term Accumulation Strategy
Analysis of Ethereum’s on-chain movements suggests that many traders, especially institutional investors, are adopting a long-term accumulation strategy as the US elections draw near. Such significant purchases by crypto whales typically precede bullish movements in the market.
Factors Driving Institutional Investment
The uptick in institutional purchases can be attributed to recent technical developments in the Ethereum network, including:
- Growth in decentralized finance (DeFi)
- Scalability solutions improving network efficiency
Market Conditions and Whale Accumulation
The crypto market is currently characterized by high volatility, driven by renewed interest in meme coins and an atmosphere of Fear, Uncertainty, and Doubt (FUD). In the face of this uncertainty, crypto whales are accumulating assets like Ethereum and Bitcoin as the US presidential election nears.
Ethereum’s Price Stability
Leading up to October 29, Ethereum maintained a position above the psychological support level of $2,600, experiencing a 1.9% gain during this period. This resilience reflects the crypto market’s confidence in the Ethereum ecosystem, further underscored by the rise in new wallet creations.
Additional Developments in the Crypto Space
Other developments in DeFi technologies, such as Solana’s rise to $181 following the launch of Jito and Jupiter, are also contributing to Ethereum’s momentum.
Future Outlook for Ethereum
Overall, analysts predict a bullish movement for Ethereum in the coming weeks, driven by whale accumulation and the creation of new crypto wallets. The asset may enter a new phase of price appreciation, fueled by investor confidence and stable price trends.
Current Market Status
As of the morning of October 31, Ethereum is trading at $2,632, down 1.30% in the last 24 hours. Its trading volume has decreased by 0.39% to stand at $20.91 billion, with a market cap of $316.82 billion, reflecting a decline of 1.32%.
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