Ethereum (ETH) whales have been manipulating currency prices on exchanges for some time, according to newly revealed data shared by CryptoQuant, a cryptocurrency analytics platform.
Whales are the ones that hold large amounts of a particular currency and therefore their movements are usually tracked in the market.
In recent years, crypto whale activities have been monitored by traders as the movements of large holders on exchanges can cause major changes in asset prices. Usually these funds are owned by former investors or large companies.
Ethereum Whales Manipulate Price on Exchanges, Analyst Says
In a post on the CryptoQuant platform, the anonymous “crypto sunmoon” analyst said he noticed a possible whale manipulation in the price of ether on exchanges.
While this is hardly new, the recent move has sparked the curiosity of many who follow the currency.
That’s because in a quick analysis, the profile stated that between 2020 and 2021, the whales manipulated the price by depositing their ethers on exchanges at a low price and selling after a high.
What draws the attention of the matter is that when whales plunge into exchanges, it is common for the market to wait for a drop in the price of cryptocurrencies. That is, the analysis indicates that the Ethereum whales have managed to manipulate the market to drive the price up with their deposits, and not the opposite as would be expected.
With this manipulation by the whales, they could have profited millions of dollars from the cryptocurrency, using artificial highs to sell at unexpected rates in the short term. In the long run, the analyst believes that this manipulation has led to a fall from which he sees no end.
Each Ethereum costs $1,350.00 today, down 72% against the dollar over the past 11 months.
Whales sold after “The Merge”
The Ethereum community waited a few months for the network to undergo a major consensus shift. However, with the update, some disgruntled miners supported a new coin emerging, Ethereum POW (ETHW).
For example, the whales had collected ether to receive the extra currency, but after the update of The Merge, many sold their possessions.
In fact, since the update on September 15, the currency’s price went from $1,900.00 to lows, reaching a 30-day low of $1,240.00 on the 21st of that month, which could prove the massive sale of whales.
Source: Live Coins
John Cameron is a journalist at The Nation View specializing in world news and current events, particularly in international politics and diplomacy. With expertise in international relations, he covers a range of topics including conflicts, politics and economic trends.
