In the past four weeks, it is quite hard to see the number of wallets holding 10k+ ETH dropped. The number of wallet addresses holding over ten thousand ETH has not changed since the digital asset hits its new ATH (All-time High) of $2,050 on February 20.
Considering the data released on Santiment, the number of wallets holding 10K+ Ether (which totaled about $17.7 million in worth at the current prices) has just declined by barely 0.9%. This data was compared to the fall in the number of addresses having about 100 – 10K Ether which is about 7.2%.
Accumulation from Big Institutions and Companies
The best explanation for this phenomenon is that most of these whale wallets are owned and controlled by large entities like conglomerates, large companies, exchanges, or big institutions who are keen on keeping the ETH in their numbers locked for future investments.
Anthony Sassano, the co-founder at ETHhub, noted that several institutions and large companies are purchasing and locking ETH in large quantities in his newsletter released on March 18.
He said, “in a short time, I am expecting to hear more purchase announcements from more big public companies for diverse reasons. [I am sure] some will stockpile it to use as transactions gas, some will purchase it as an investment to ETH2, others will purchase it as a reserve asset for their firm’s balance sheet.”
ETH deposits into the DeFi have been noticed to be more from the mid-tier level wallet addresses as the amount of the asset held and locked across all platforms and protocols in the market has reached a new ATH – All-Time High.
Based on a stat from Debank, a DeFi wallet provider, the total sum of Ethereum locked away in the DeFi is about to hit a peak of 9.6 million Ether.
This represents 8.3% of the total Ethereum supply, which is worth about $17 billion in total (calculating with the current price). However, the amount of the total ETH kept hit 10 million for the very first time on 11th March.