Just when the leading cryptocurrency Bitcoin seemed to be recovering, it experienced new declines. Yesterday evening, another drop occurred, pushing the price down to around $58,000.
This decline was also reflected in altcoins, with the price of Ethereum, the largest altcoin, falling to around $1,500.
With this decline, all Ethereum whales suffered losses for the first time in 7 years.
Whale Losses Across the Board
According to crypto analyst Darkfost, using a pseudonym, all large-scale Ethereum investors, or whales, are currently in a state of unrealized loss.
Specifically, the group of investors holding 1,000 to 10,000 ETH is experiencing a 26% loss. The group holding 10,000 to 100,000 ETH is seeing a 21% loss. And finally, the group holding more than 100,000 ETH is experiencing a smaller 5% loss.
The analyst also added that historically, periods when Ethereum whales incurred losses coincided with market lows. This might be something to keep an eye on, though nothing is certain.
Market Cap Shuffle
The analyst also argues that, given that all whale groups are at a loss, the ETH price has performed relatively well. I think that is an interesting perspective.
As predictions of ETH hitting rock bottom continue to mount, Ethereum lost its position as the second-largest cryptocurrency by market capitalization to Tether. During the day, Tether overtook Ethereum by market capitalization to rise to second place in the overall crypto rankings. However, ETH subsequently regained its status as the second-largest cryptocurrency.
According to the latest data, USDT has a current market capitalization of $186 billion, while ETH has a market capitalization of approximately $187.1 billion. The gap is very narrow now.
This is not investment advice.
