The price of the largest altcoin Ethereum (ETH) is trading at $1,650, but data on network activity signals some interesting developments. Current data signals an important trend, showing that 35 percent of the circulating ETH supply is controlled by the top 10 wallet addresses.
After the recent price crash, small investors are trying to dump their ETH, while big investors are busy saving. This has resulted in the ETH supply being concentrated in a particular wallet address, with the top 10 wallet addresses of ETH currently controlling 35 percent of the total supply. While this could be considered centralized by the largest altcoin, it is not quite so. On-chain data platform Santiment notes the following regarding this change in wallet addresses:
The 10 largest wallet addresses on the Ethereum network currently control more than 35 percent of the total available supply. While this does not indicate an abrupt transition to centralization for the second-largest cryptocurrency in the cryptocurrency market, it does point to how smaller investors have succumbed to fear, uncertainty and doubt (FUD) during the market downturn.
Amid the recent negative price movements, there has been a significant increase in the number of whale transactions on the Ethereum network. Since the beginning of June, wallet addresses holding between 10 and 10 thousand ETH have received an average of over 1,788 ETH. Santiment sheds light on the trend of Ethereum whales:
There has been a notable increase in wallet address activity on the network amid Ethereum’s drop below $1,650 and highly volatile price movements. While the number of wallet addresses holding 10 to 10 thousand ETH increased to 355 thousand, there was an increase in transactions of 100 thousand dollars and above.