Coin Metrics: Whales Invest in Ethereum as Price Rises

Since the start of 2021, the number of wallets holding at least 10,000 ETH rose from 1,150 to more than 1,250, according to Coin Metrics.

The number of addresses holding large amounts of BTC and ETH has both been growing rapidly since the start of 2021.

Read more in this week’s State of the Network:https://t.co/1XkDeQd4cL pic.twitter.com/mhiNBrAEBf

— CoinMetrics.io (@coinmetrics) February 9, 2021

The number of Bitcoin whales has also hit a new high. The chart shows that since the start of the year the number of wallets holding 1,000 BTC rose from 1,200 to 1,300.

On February 8, the Chicago Mercantile Exchange (CME) launched Ethereum futures. Analysts at Coin Metrics believe this will increase inflows into the Grayscale Ethereum Trust (ETHE). In their view, large players will be able to open short positions on CME while simultaneously investing in the cryptocurrency, hedging price risk.

On February 9, the price of Ethereum surpassed the $1,800 mark. According to CoinGecko, the asset’s market capitalization reached $207 billion. With the rise in transaction fees on the Ethereum network gas fees are setting new records. On February 5, the average stood at $25.80 — the highest on record, Coin Metrics noted.

In January, analysts at Glassnode said that large Ethereum holders pushed the asset price to new highs.

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