Ethereum (ETH) has surged back to the $4,000 mark, and this dramatic rise could be tied to some intriguing institutional movements. Just six hours before ETH’s price spiked, two multisignature wallets—both linked to a common creator address—withdrew 4,502 ETH, worth approximately $17.54 million, from Binance and staked them with KelpDAO. This timed withdrawal suggests that a significant player might be behind the surge, possibly an institution or a new fund entering the Ethereum market.
The Breakdown of the Transaction
The two multisign wallets, 0x23a…dad and 0xc9c…d04, executed their first-ever withdrawals between an ETH price of $3,880 and $3,900. These wallets, which are commonly used by institutions, have a shared creator address, 0x7cf…617. After the withdrawal, the tokens were staked, and Ethereum’s price surged to $4,022, marking a 3% increase in the value of the staked tokens, resulting in an unrealized profit of $517,754 before falling back to $3,930.
An institution is accumulating $ETH!
— Spot On Chain (@spotonchain) December 16, 2024
9 hours ago, two multisign wallets with the same creator address withdrew their first 4,502 $ETH ($17.54M) from #Binance at ~$3,895 and then staked the tokens with @KelpDAO.
Now, they are up $517K (+3%) as the $ETH price rebounded over $4K.… pic.twitter.com/NFr1D2D2TI
Who’s Behind the Move?
While it’s difficult to pinpoint exactly who is behind these transactions, the timing and scale suggest the involvement of an institution or a large investor. The wallets in question are new, with one being only 4 days old and the other just 15 hours old at the time of the transaction. Their creator address was established 51 days ago, adding an element of mystery to this large move in the Ethereum market.
The precise timing of these withdrawals coincided almost perfectly with Ethereum’s recovery to $4,000. This raises the question—did these large transactions contribute to the price increase, or was the price already on its way up? Either way, it highlights how sensitive the market can be to significant transactions from major players.
Also Read: Bitwise Predicts Bitcoin at $200K, Ethereum at $7K, and Solana at $750 by 2025: Key Insights
What’s Next for Ethereum?
Currently trading around $3,930, Ethereum faces some resistance but remains solid near the $4,000 mark. The growing interest in ETH from institutional investors reflects a shift towards confidence in the cryptocurrency’s long-term value. Whether this is a single institution or the beginning of a broader trend, Ethereum’s bullish trajectory could continue as institutions increasingly engage with ETH.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
About The Author
