Mystery Ethereum whale accumulates $411 million ETH in February amid ETF rumors

by e_cash_top

An unknown Ethereum whale has been accumulating ETH at a rapid pace since the start of February. Over the past 23 days, wallet 0x7a95c has acquired $411 million worth of ETH and stETH, mostly from Binance.

Data shared with CryptoSlate from Spotonchain traces the ETH inflows into the wallet throughout the month, showing persistent purchases of between 3,000 and 34,000 ETH.

0x7a95c Whale on Spotonchain
0x7a95c Whale on Spotonchain

CryptoSlate analysis tracing inflows and outflows from the wallet shows connections with multiple different exchanges and DEXs. Almost all funds into the wallet came from Binance with $21 million HTX and 1inch. However, in terms of outflows, a wide range of addresses are connected, including Wintermute, Uniswap, 1inch, AlphaLab Capital, Native Pool, and Paraswap, among others.

Entity tracing for 0x7a95 from Arkham Intelligence
Entity tracing for 0x7a95 from Arkham Intelligence

Digging into the transaction details on Spotonchain, the whale transferred a substantial amount of 7,915 ETH, valued at approximately $23.52 million, from Binance to their wallet. This transaction, recorded on Feb. 22 at 16:38, signifies the continuation of a notable pattern of accumulation by this entity. The transaction details indicate a deliberate strategy by the whale to increase their holdings in Ethereum.

Over the past four days, the whale has reportedly purchased a total of 112,923 ETH through Binance and 1inch, with an average acquisition cost of $2,892 per ETH, amounting to an investment of $326.5 million. Following these transactions, the whale’s Ethereum holdings now stand at 132,585 ETH, alongside 5,485 STETH, cumulatively valued at $411 million. This portfolio currently exhibits an unrealized profit of $21.13 million, highlighting the financial gains resulting from these strategic moves.

The pattern of accumulation includes several other significant transactions. Notably, 17,198 ETH were withdrawn from Binance in a prior transaction, contributing to the whale’s growing Ethereum reserves.

Furthermore, the whale’s activities extend beyond Ethereum purchases, as evidenced by a withdrawal of 40 million USDT from Binance. This suggests a broader strategy that potentially includes leveraging stablecoin reserves to further increase Ethereum holdings. The whale’s transactions and holdings, particularly the strategic use of both ETH and STETH, reflect a sophisticated approach to digital assets investment, emphasizing diversification and timing to capitalize on market movements.

Rumors of a potential spot Ethereum ETF being approved by the SEC have helped push Ethereum back over the $3,000 mark on two occasions this month. Concerns over theoretical issues with the centralization of staked Ethereum amid a spot ETF have been raised, though at present any potential approval is unclear.

Unconfirmed rumors of Justin Sun relationship

Earlier in the month, Lookonchain suggested the whale may be Justin Sun based on an analysis of similar transactions with a suspected wallet belonging to the investor. However, all information appears to be circumstantial, and the wallet has no equivalent active address on the Tron blockchain. Still, interestingly, the 0x7a95 wallet has never interacted with USDC and only appears to use USDT for stablecoin transactions. Circle stated that Justin Sun has no accounts with them in a 2023 letter to Senator Elizabeth Warren, yet wallets identified by Arkham Intelligence to belong to Sun transacted with USDC as recently as Feb. 22.

The only connection to Justin Sun that could be identified by CryptoSlate was a 1inch Settlement contract with two tangentially related wallets. Addresses 0x874d and 0x158B received $21 million from 0x7a95, and both transferred funds to the 1inch Settlement contract 0xA888. A Justin Sun-tagged wallet, 0x1387, received $58 million from the same 1inch contract a year ago. However, all transactions from 0x7a95 happened much more recently.

CryptoSlate is monitoring the wallet and related addresses should further information become apparent.

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