Crypto Whales Boost Ethereum, Pepe, and ONDO

A surge in interest from crypto whales often signals potential price rallies for certain cryptocurrencies, as recently observed with Ethereum (ETH), Pepe (PEPE), and ONDO. Whales have been increasing their holdings of these assets, suggesting bullish trends, although the possibility of sell-offs could affect prices.

Increased whale activity in an asset is typically considered a bullish sign, indicating a potential price rally. When retail investors notice large investors ramping up their trading activity, their confidence in the asset grows, leading to increased buying and sustained price rallies. As the market enters a new trading month, leading altcoin Ethereum (ETH), the frog-themed meme coin Pepe (PEPE), and ONDO, the governance token of Ondo Finance, are drawing significant interest from whales.

Ethereum has seen a spike in large holder netflow, which is the difference between the amount of ETH bought and sold by large investors. According to on-chain data from IntoTheBlock, there has been a 167% increase in ETH’s large holder netflow in the past week. Large holders are defined as addresses that hold more than 0.1% of an asset's circulating supply. When this metric rises, it indicates that whales are accumulating more coins, which is considered a bullish signal and suggests a potential price rally. This could increase buying pressure, potentially leading to a price surge.

The frog-themed meme coin Pepe (PEPE) has experienced a surge in whale addresses. Santiment data reveals that 85,400 addresses now hold between 10,000 and 10 million PEPE tokens, marking the highest count since its launch in April 2023. Over the last month, this group of PEPE holders has increased by 12%, despite the token's price consolidation during this period.

PEPE whales have increased their holdings due to the token's profitability. The Market Value to Realised Value (MVRV) ratio for PEPE indicates that the meme coin is currently overvalued, allowing investors to sell for gains. The MVRV ratio compares an asset's current price to the average price at which all its coins were acquired. When the MVRV ratio is above zero, the asset's market value is higher than the purchase price for most investors, indicating potential profits for holders. However, it is important to note that steady sell-offs could create downward pressure on PEPE’s price. If selling pressure begins to exceed supply, the coin’s value could drop.

Ondo (ONDO), the governance token of Ondo Finance, has seen an increase in its large holder inflow over the past 30 days, according to data from IntoTheBlock. This metric tracks the amount of cryptocurrency moving into wallets belonging to large holders. A spike in this metric suggests increased buying pressure from major investors.

If ONDO whales continue accumulating the altcoin throughout August, its price may see a significant rally. The increased interest from large holders in ONDO could lead to a price surge if the trend continues. In summary, the interest of crypto whales in Ethereum, Pepe, and ONDO indicates a potential bullish trend for these assets. Whale activity often signals increased confidence in an asset, which can attract more buyers and lead to price rallies. However, the possibility of sell-offs remains a concern, as they could offset potential gains. As the market evolves, these cryptocurrencies will likely continue to draw attention from investors looking for profitable opportunities.