Reports show that a new Ethereum (ETH) whale has been on a buying spree recently. This whale bought over $405 million worth of ETH since March 31 and is suspected to be Tron founder Justin Sun. Sun is also linked to another address that made massive ETH moves this year.

A New Whale On The Horizon, Is It Justin Sun?

The blockchain research platform Lookonchain revealed that a whale has gone on an Ethereum buying frenzy over the past few weeks. The newly created account started buying ETH from crypto exchanges on March 31.

According to the post, the mysterious wallet first withdrew $96.8 million stablecoins from the crypto exchange Binance. Then, the whale started buying Ethereum from Binance and Decentralized Exchanges (DEX).

Did #JustinSun buy 127,388 $ETH($405.19M) since Apr 8?

The wallet suspected of being #JustinSun has deposited 787M $USDT to #Binance on #Tron since Mar 31.

Also on Mar 31, a mysterious wallet was created on #Ethereum and withdrew $96.8M stablecoins from #Binance.
Is this a… pic.twitter.com/OcEovodUrc

— Lookonchain (@lookonchain) April 22, 2024

From April 8 to April 20, the address bought 127,388 ETH, worth around $405.19 million, at an average price of $3,172 per token. According to the research platform, the activity from this new address is similar to that of the alleged Justin Sun address.

Although the possibility of a coincidence is not ruled out, the activity between the two addressed seems to suggest otherwise. On March 31, the address Sun was suspected of owning made a significant deposit of 787 million USDT to Binance on Tron, which coincided with the withdrawal made by the mysterious new address.

As reported by NewsBTC, Justin Sun’s alleged wallet also went on a similar buying spree from February 12 to February 24. At the time, the address acquired 168,396 ETH, worth around $580.5 million, for an average price of $2,894.

Lookonchain considers that the similarities hint that these addresses are likely owned by Sun. If so, Justin Sun has bought 295,757 ETH, worth $891 million, in the past two months.

Ethereum Price Recovers Amid Whale Accumulation

X users expressed concern over Sun’s alleged movements. At the time of the first report, some considered the transaction suspicious.

One user affirmed that Sun would be “the reason of the next market crash.” Others believe it was time to question whether Sun would dump his ETH bag. However, the possibility of him accumulating for the approval of spot Ethereum exchange-traded funds (ETF) was brought up.

The latest news of Sun’s alleged buying spree received a more positive response. A user considered it a bullish signal for the second-largest cryptocurrency, as the token could benefit from whale accumulation.

On Friday, Ether’s price dipped to $2,865, a level not seen since late February. Over the weekend, however, ETH began to recover from its recent fall as the whale buying spree occurred.

Since then, the “king of altcoins” regained the $3,100 support level, currently trading at $3,192. The recovery represents a 2% increase from its price 24 hours ago and a 1.5% surge in the weekly timeframe.

Moreover, ETH’s daily trading activity has increased by 8.7%, with a daily trading volume of $11.42 billion. Similarly, the second-largest cryptocurrency has seen a 1.78% rise in market capitalization during the last day.

Ethereum's price performance in the 7-day chart. Source: ETHUSDT on TradingView

Featured Image from Unsplash.com, Chart from TradingView.com

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Bitcoin (BTC) price fell suddenly on Monday, breaking the $16.5k support level. Analysts expect Bitcoin to see a pullback to $14,500 to confirm a bottom. However, some believe the BTC price can rise from current levels based on the historical bear markets data. Later, Binance CEO “CZ” clarifies that the transfer is part of the Proof-of-Reserve Audit.

Binance Moves Over $2 Billion to a Wallet

Whale Alert in a tweet on November 28 revealed that 127,351 BTC worth $2.06 billion has been transferred from crypto exchange Binance to an unknown wallet. The crypto community raised concerns about the motive behind the massive amount of Bitcoin moving from Binance.

Lookonchain revealed that Binance has indeed transferred all 127,351 BTC from a cold wallet to a new wallet address. The Binance cold wallet is now worth zero. Meanwhile, the community questions if the BTC will be dumped as Bitcoin saw a sudden selloff today.

The affected cold wallet is the same one that made big BTC moves on October 26 and November 11. The wallet saw an inflow of 127,351 BTC on November 18. Now, 127,351 BTC have been transferred to another new wallet.

While the reasons remained unclear as Binance CEO “CZ” still had to comment on the reasons behind the move, some believe it is related to BTCB-Reserve reorganization.

Bitcoin price is currently trading at $16,223, down over 2% in the last 24 hours. The trading volume jumps over 30% as BTC price saw a massive selloff on Monday. The 24-hour low and high for Bitcoin are $16,086 and $16,594, respectively.

Binance CEO Clarifies the FUD

As the FUD started to rise amid the mystery behind the large BTC transfer, Binance CEO “CZ” replied that the transfer is part of the Proof-of-Reserve Audit. The auditor required proof that Binance controls the wallet. Thus, the Binance team sent 127k BTC to a new wallet.

“This is part of the Proof-of-Reserve Audit. The auditor require us to send a specific amount to ourselves to show we control the wallet. And the rest goes to a Change Address, which is a new address. In this case, the Input tx is big, and so is the Change. Ignore FUD!”