Ethereum refuses to sell whales: ETHs flow into the DeFi industry

Since the Ethereum network’s native currency Ether (ETH) price hit an all-time high of $ 2,050 on February 20, the number of addresses with more than 10,000 ETH in it has hardly changed.

According to Santiment data, the number of wallets with over 10,000 ETH (about $ 17.7 million) has declined by just 0.9 percent in the past four months. Unlike this data, a 7.2 percent decrease was observed in the number of wallets with 100 to 10,000 ETH.

Whale addresses were cited as an explanation for this difference. It is thought that they may belong to organizations such as stock exchanges, large companies or corporate funds that want to hold assets or lock them for investment purposes.

ETHhub co-founder Anthony Sassano stated in his March 18 newsletter that large companies and institutions are increasingly buying and holding ETH.

“Also, in the coming months, I expect many more companies to announce their ETH purchases for different reasons. Some will stock ETH to use for Gas purposes, some will buy to own shares in eth2, and some will add it as a SoV / reserve asset to their balance sheets.”

According to statistics from DeFi wallet provider Debank, the amount of Ethereum locked in the DeFi industry is close to the top with 9.6 million ETH. This amount represents 8.3 percent of the entire supply and is calculated at around $ 17 billion. The locked-in ETH amount exceeded 10 million for the first time on March 11.

On the other hand, Beacon Chain currently has 3.53 million ETH, or $ 6.3 billion, according to Eth2 blockchain on-chain data.

These two factors have provided support for the ETH price, which has been around $ 1,800 since March 9. At the time of the news release, ETH price was trading at $ 1,794, down 1.16 percent in the last 24 hours.

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