A whale bought Ethereum worth millions of dollars yesterday, but this move shows a striking resemblance to the buying activity from Tom Lee’s Bitmine.
Arkham Intelligence reported this transaction involving an unidentified wallet and crypto exchange FalconX. The first few transactions of the newly created address were to buy over $100 million worth of Ethereum (ETH).
Key Points
- An unmarked address “0xA177” bought over $100 million worth of Ethereum over two transactions on March 25 at around 20:52 (UTC).
- The wallet received 25,000 ETH ($54.17 million) twice from FalconX, bringing the total to $118.3 million.
- Arkham’s report suggested that the Ethereum acquisition closely matches the pattern that Ether treasury firm Bitmine uses to add to its hefty ETH stash.
- Lookonchain confirmed that the ETH purchase resembles those of Bitmine.
- In a Monday weekly update, Bitmine disclosed that it now holds 4.661 million ETH ($10 billion) acquired at an average price of $2,072.
Whale Buys Ethereum
Specifically, the unmarked address “0xA177” bought these Ether tokens over two transactions on March 25 at around 20:52 (UTC). Data shows these are the only transactions it has made, suggesting it was recently created.
For context, the wallet received 25,000 ETH ($54.17 million) twice from FalconX, bringing the total to $118.3 million.
At the time of writing, this whale still holds the 50,000 ETH stash, but the valuation has dropped slightly to $106 million, following Ethereum’s 2.5% drop on the day. Meanwhile, Arkham suggested there could be more to this transaction.
Bitmine’s Pattern of Accumulation
The Arkham report noted that the Ethereum acquisition closely matches the pattern that Ether treasury firm Bitmine uses to add to its hefty ETH stash. As such, it raised the question: Did Tom Lee and Bitmine go on another buying spree?
Indeed, the pattern is similar to Bitmine’s Ethereum purchase operations. The firm, which is the largest corporate holder of ETH, typically buys more Ether by creating new addresses. Subsequently, it will move acquired tokens from exchanges to the new wallets.
117,111 Ethereum Acquired in Two Days
Market intelligence platform Lookonchain also tracked this transaction. It confirmed that it has similarities with Tom Lee-chaired Bitmine’s Ether purchases.
Aside from the 50,000 ETH acquired yesterday, Lookonchain disclosed that Bitmine appears to have been busy on the buying front in the last two days. During this period, three newly created wallets likely linked to the firm have acquired a total of 117,111 ETH ($253.3 million).
This builds on yesterday’s report that two wallets likely linked to Bitmine acquired 67,111 ETH ($145 million). The first received 33,112 ETH ($71.12 million), and the other approximately 34,000 ETH ($72.8 million) from Kraken.
Bitmine’s 4.661 Million ETH Empire
In a Monday weekly update, Bitmine disclosed that it now holds 4.661 million ETH ($10 billion) acquired at an average price of $2,072. This is slightly lower than the current market price of $2,118, suggesting that it has now moved from nursing unrealized losses to notable gains.
Notably, the stash represents 3.86% of Ethereum’s supply. It is also over 77% of its target 5% supply ownership. Remarkably, Bitmine has achieved this incredible feat in just 8 months.
From its holdings, it has staked 3.14 million ETH ($6.5 million) as part of its strategy to generate passive income for its investors. The update also confirmed that the treasury company holds a total of $11 billion, comprising its Ethereum tokens, $1.1 billion in cash, and 196 BTC.