Ethereum experienced a notable upswing in August, marking its most successful performance for that month in the last four years. Analysis reveals that substantial investors played a key role in driving this price increase.
According to CoinGlass data, ETH’s value surged by 18% during the past month, reaching a peak of $4,953. This represents the first instance of positive August returns for the token since 2021, when it saw gains exceeding 35%.
Since that time, August months have consistently shown negative results, emphasizing the importance of this year’s change in trend for the second-largest cryptocurrency by market capitalization.
Glassnode‘s analytical data indicates that the primary force behind last month’s price surge was the activity of very large holders, sometimes called “mega whales”, holding 10,000 or more ETH. Net inflows from these entities reached a high point of 2.2 million ETH over a 30-day timeframe, after which their purchasing activity saw a slowdown.
The Crypto Investor Blueprint: A 5-Day Course On Bagholding, Insider Front-Runs, and Missing Alpha
Simultaneously, the data reveals that larger whale-sized wallets, those holding between 1,000 and 10,000 ETH, seemingly are accumulating again. Following a period of distribution earlier in the year, these investors showed net inflows totaling approximately 411,000 ETH in the last month.
Although the end of accumulation from the very largest “mega whales” might suggest impending caution, the return of buying by larger wallets indicates sustained interest in this digital asset from institutional investors and high-net-worth individuals.