Exempting the ultra-rich in crypto from any sort of reasonable tax policy Enabling an ultra-rich head start. Maybe. Let's dive in.

Mega Whales' Quiet ETH Buying Spree

Picture this: while everyone's glued to meme coins and fleeting trends, the real players, the Ethereum mega whales, are quietly loading up on ETH. It’s not chump change either, we’re talking about wallets with at least 10,000 ETH – big bucks. They've been buying, and buying a lot. Their overall ETH bounty has soared from 37.56 million ETH in Oct. 2024 to currently over 41.06 million ETH. That's a 9.31% increase.

Now, this isn't just some random blip. These whales have a history.

History Rhymes and Fortunes Are Made

Imagine the situation back in November 2020 – January 2021, or May-September 2022. Similar buying patterns had occurred prior to the major ETH price runs of late 2020 and early 2021. It’s as if they’re reading from a playbook, a script that is available only to them. So, what makes this time different? Is it?

This whole accumulation has been flying completely under the radar with all the price action being quite flat. It's not yet priced in. There is a rush associated with finding that rare, undervalued painting at a garage sale. A discerning eye can see its potential long before the crowds start to flock.

Here's the unexpected connection: think of it like institutional investors gobbling up real estate during a recession. They find long-term value in places where others can’t get past the short-term pain.

What's Fueling the Whale Buffet?

So what is it that these mega whales know that we aren’t in tune with? Several possibilities come to mind.

  • ETF Approval Anticipation: Increasing flows into Ethereum-focused investment funds, including ETFs, suggest institutional adoption is on the horizon. They're betting on it.
  • Undervalued Asset: They might simply believe that ETH is fundamentally undervalued, a diamond in the rough waiting to be polished.
  • Technological Advancements: The whales could be anticipating future technological advancements in the Ethereum ecosystem, like further scaling solutions or the next big DeFi innovation.

These aren't just hunches. And the whales have been reacting on that with big, big time money.

Global Perspective on Ethereum Dominance

Don't forget the global picture. Macroeconomic trends, geopolitical events, and regulatory developments have contributed. Asian markets play a huge role in supplying demand for crypto. If we get any positive regulatory news outta those regions, ETH will moon. Just think how big the deal would be if a major corporation based in Asia decided to use ETH for its operations.

The recovery in supply is the strongest and most sustained period since this metric’s long term downtrend started back in June 2020. It's signaling a long-term shift in sentiment.

Navigating the Crypto Sea Cautiously

Now, let's be realistic. Crypto is volatile. The price can swing wildly. This isn't a guaranteed win. The bull pennant pattern ETH is trading within could push it toward $3,400 by August, or even $5,000 by year's end. But patterns can fail.

Don’t forget the $2,500-$2,536 area, a powerful accumulation zone. Even strong support levels can break.

Always do your own research. Don't blindly follow the whales. Understand the risks.

A Thought-Provoking Question

The mega whales are accumulating. They've done it before significant price jumps. Could this be the start of the next ETH bull run, or just a momentary flicker on the radar? Are they, in fact, being innovative and smart by making a data-driven decision with publicly available data? Or do they possess superhuman foresight that is hidden from us mere mortals?

That's the question you need to answer. Do watch those whale wallets. Or, perhaps, they are simply leading as examples should.