The number of Ethereum wallet addresses holding more than 10,000 ETH has remained the same since the cryptocurrency last hit an all-time high above $2,000 last month. This indicates that Ethereum whales are refusing to sell the digital asset despite the recent plunge in its valuation.
Ethereum Whales Refuses to Sell Amid DeFi’s Growth
Data from crypto data platform Santiment shows that wallets holding more than 10,000 ETH worth over $18 million have declined by just 0.9% over the past four months.
Meanwhile, wallets holding 100 ETH to 10,000 ETH have fallen by 7.2% in the same time period.
🐳💪 #Ethereum's top holders aren't showing major signs of budging after its #AllTimeHigh hit four weeks ago. There are 0.9% less 10,000+ $ETH addresses compared to last month. Meanwhile, 100-10,000 $ETH addresses have dropped a much more substantial 7.2%. https://t.co/bg4WVcQadM pic.twitter.com/jcFF48X6bo
— Santiment (@santimentfeed) March 17, 2021
This might be due to large whale addresses being owned by exchanges, large companies, or institutional funds that have kept the funds locked up for investment purposes.
While address holders between 100 ETH to 10,000 ETH are depositing more ETH into DeFi as the amount of the asset locked in DeFi recently hit an all-time high.
The amount of Ethereum locked in the DeFi space has also been growing steadily. Data from DeFiPulse shows there is now 9.2 million ETH locked in DeFi, indicating an overall 10% of Ethereum’s circulating supply is currently locked.
Ethereum Circulating Supply Locked in Beacon Chain
Some of Ethereum’s circulating supply has recently been locked on the Ethereum beacon Chain.
According to the Ethereum 2.0 blockchain explorer, there are currently 3.53 million ETH, or $6.3 billion, staked on the Beacon Chain.
The Beacon Chain is a Proof-of-Stake (PoS) blockchain consensus mechanism that will replace Ethereum’s current Proof-of-Work (PoW). It’s currently running alongside the original Ethereum Proof-of-Work chain, making sure that there is no break in the continuity of the chains.
The locked funds in Ethereum’s beacon chain indicate investors’ willingness to become validators on the Proof-of-Stake network while earning a return on their ETH holdings and helping to secure the network.
At the time of writing, the price of Ether (ETH) had dipped to 1.79% over the past 24 hours and currently trading at $1,843, according to CoinMarketCap.