A significant Ethereum (ETH) holder, dormant for five years, recently transferred almost $90 million worth of the token to the crypto exchange Kraken.
The on-chain analytics tool Lookonchain reported this development in the early hours of Tuesday, shedding light on the activities of this long-inactive “whale.”
A whale refers to an entity holding a substantial amount of any cryptocurrency.
Blockchain data reveals that during the Asian morning hours, the whale deposited 39,260 ether into Kraken. In 2017, this same address received 47,260 ether estimated at over $11 million at the time.
Upon analyzing the address, it was discovered that previous transactions were not linked to the cold storage of any exchange.
However, there is a possibility of a connection to trading firm Cumberland as indicated by labeling on the data tool Arkham.
The significance of such a large holder moving assets to an exchange lies in the potential repercussions for the market.
When whales transfer funds to exchanges, it often raises speculation about selling pressure as the holder might either sell the tokens for stablecoins or convert them into other cryptocurrencies.
This event adds an element of intrigue to the cryptocurrency market as observers keenly watch for any subsequent market movements.