Ethereum (ETH) demonstrated signs of recovery on Monday, briefly reaching $3,460, following a period of consolidation over the past week. This resurgence is attributed to recent whale activity surrounding the leading altcoin and JP Morgan’s positive outlook for the potential approval of an ETH Exchange-Traded Fund (ETF).
Market Movers Overview: Whale Activity, ETH ETF Speculation, and Phishing Concerns
Over the weekend, Ethereum’s price exhibited a slow movement, but the beginning of the new week witnessed a gradual increase. Here are the key factors influencing the market on Monday:
1. Whale Activity Resumes Bullish Momentum: Ethereum whales have signaled intentions to regain bullish momentum after exhibiting weak hands last week. Spot On Chain data revealed that within a span of 14 hours, two whales collectively purchased 10,322 ETH, equivalent to $35.11 million in stablecoins. Notably, eight wallets, likely belonging to a single entity, acquired 6,145 ETH for $20.86 million USDT. Additionally, whale 0x5e9 invested 14.25 million DAI to acquire 4,178 ETH. Following this whale activity, ETH briefly surged to $3,460.
2. Decrease in ETH Long Position Liquidations: ETH’s long position liquidations have notably decreased in recent days. Coinglass data indicates that short liquidations, totaling $11.48 million, surpassed those of long traders, amounting to $8.28 million, in the past 24 hours.
3. JP Morgan’s Continued Optimism for ETH ETF Approval: Nikolaos Panigirtzoglou, a managing director at JP Morgan, has upheld his earlier predictions regarding the approval of an Ethereum ETF. Despite Bloomberg senior analysts Eric Balchunas and James Seyffart revising their approval odds from 70% to 25%, Panigirtzoglou maintains a 50% likelihood of an ETH ETF entering the market. He emphasized the possibility of a litigation process if approval is not granted in May, expressing confidence in a favorable outcome based on previous legal battles involving Grayscale and Ripple.
4. Vigilance Against Crypto Scams: Amidst ETH’s potential price recovery, investors are urged to exercise caution due to prevalent scams in the crypto market. Reports emerged on Monday regarding a Multi Chain Yield Optimizer phishing ad detected on Ethereum’s mainstream browser Etherscan. This incident recalls similar phishing ads observed on Etherscan and CoinGecko in 2022. By soliciting a user’s wallet signature, the malicious ad could exploit connections to steal funds, prompting concerns within the crypto community.
As Ethereum embarks on a trajectory of potential recovery bolstered by whale activity and positive sentiments regarding an ETF approval, vigilance against fraudulent activities remains paramount for investors navigating the dynamic crypto landscape.
