Whale Activity on Ethereum Reaches Six-Week High Amid Price Predictions
Analysts predict significant price increases for Ethereum as whale activity reaches a six-week high, indicating heightened interest in the cryptocurrency. Despite this potential growth, an Ethereum insider emphasized the need to address key issues for sustainable success.
Ethereum: Projected Price Upsurge
Analyst Bаsictrаdingtv forecasts a possible 60% price increase for Ethereum due to rising investor interest. Blockchain analysis firm Santiment reported a spike in whale activity, suggesting a potential purchasing spree among large holders. Their analysis indicated that whale activity hit a six-week peak as Ethereum's price declined to $2,380, historically linked to accumulation by major stakeholders.
Ethereum’s whale activity spiked to a 6-week high as its price declined as low as $2.38K Friday. Historically, this is a sign of accumulation from high capital key stakeholders. Though not a guarantee this will have an immediate effect on prices bouncing, it is encouraging! pic.twitter.com/zcofdvszLF
— Santiment (@santimentfeed) October 26, 2024
Market observers project Ethereum prices could reach $4,000, with some analysts suggesting it might exceed $6,000. The increase in whale interest is evident with over 6,400 new wallets created by large investors. Bаsictrаdingtv noted that while reaching $4,000 is plausible, a drop to $2,000 would invalidate bullish projections, marking that price zone as critical.
Recalibrating Protocol For Growth
Ethereum co-founder Vitalik Buterin highlighted several issues that need resolution for the cryptocurrency's advancement. He advocated for simplifying the protocol to enhance integrity and security, noting that the current complexity undermines these aspects. Buterin referenced past changes, such as removing the SELFDESTRUCT opcode, which complicated user interactions and posed security risks. He stressed the importance of systematic removal of features to assess their impacts before implementation.
Solving The Storage Problem
Buterin also addressed Ethereum's storage issues, requiring approximately 1.1 terabytes for historical data storage. He proposed “cryptographic proofs of the state” to allow nodes to maintain only essential fragments of historical data, similar to how torrent systems operate, where nodes retain intersecting data pieces.
As of now, Ethereum trades at $2,470, down 2.84% in the last 24 hours, while trading volume surged over 30% to nearly $22 billion within a single day.
Featured image from Forbes, chart from TradingView