Dormant Ethereum Whale Reemerges, Liquidating $1.14 Billion Worth of ETH

An Ethereum whale that has been dormant for over eight years has reemerged, liquidating a significant portion of its holdings.

An Ethereum whale that has been inactive for over eight years has started to sell a large portion of its holdings. The whale, which holds 398,891 ETH, began selling assets on Monday, marking the first major activity from this address since it began accumulating Ethereum at the token’s inception.

According to data, over the past six hours, the whale has sold a staggering 13,400 ETH, amounting to $37.38 million. This sale took place at an average price of $2,790 per ETH, a substantial return compared to the whale’s initial investment in Ethereum. These ETH tokens were originally accumulated in 2016 through 28 separate wallets, each likely linked to a single entity or individual. According to blockchain data, the whale’s initial purchase price averaged around $3.5 per ETH, making this sale highly profitable.

The whale’s holdings trace back to January 2016, when it began accumulating ETH via the ShapeShift exchange. After amassing its assets, the whale transferred the ETH from the original 28 wallets to new addresses in August 2016, where it remained untouched for years. This dormant behavior suggests that the whale either had a long-term holding strategy or was waiting for Ethereum’s value to appreciate substantially before liquidating.

Recent Sales Net 802x Returns, Sparking Market Impact

In a recent transaction, the whale sold 11,005 ETH at a price of $2,777 per token, realizing a total of $30.56 million from this single trade. Given the initial acquisition cost of approximately $3.46 per ETH, this sale reflects an 802x return on investment. The whale’s decision to offload ETH now aligns with Ethereum’s steady price gains, providing an optimal exit opportunity to capitalize on years of appreciation.

Large transactions from such a substantial whale can impact market sentiment and liquidity. With nearly $37 million worth of ETH sold within hours, Ethereum’s market dynamics may experience increased volatility. Crypto enthusiasts and market analysts are closely watching this whale’s activities, anticipating further transactions and assessing potential effects on ETH’s price stability.

As Ethereum continues to mature, movements by long-dormant addresses highlight the significant returns early adopters have gained and underscore the value of holding over extended periods. This recent activity from the dormant whale may inspire other long-term holders to consider liquidating assets amid favorable market conditions.