Giant whale piles ETH on Binance, is a dump coming for the altcoin?

As you have been following on Kriptokoin.com, the market is having a red weekend. In this atmosphere, on-chain observer The Data Nerd noted

A cryptocurrency address that is believed to belong to the ARB Foundation, a non-profit organization that reaches out to those struggling with depression, recently transferred a significant amount of ETH to Binance, sparking fears of a potential ETH dump among the crypto community.

Meanwhile, August was not a good month for the leading altcoin.

Giant whale piles ETH on Binance, is a dump coming for the altcoin?

As you have been following on Kriptokoin.com, the market is having a red weekend. In this atmosphere, on-chain observer The Data Nerd noted that a whale deposited 60,000 ETH, equivalent to $150.33 million, on Binance in the final hours of the last day of August. According to the onchain tracker, the latest ETH deposit brings the whale’s total amount transferred to Binance to 90,000 ETH. This corresponds to approximately $226.02 million at the current altcoin price.

$ETH dumping?????8 hours ago, a wallet (may belong to #ARB_Foundation) deposited 60k $ETH (~$150.33M) to #Binance.

Within 24 hours, he deposited totally 90k $ETH (~$226.02M) to #Binance.

Address:https://t.co/zjzY3AsIo7 pic.twitter.com/qVrMTwgWgk

The Onchain tracker, among other crypto community members, predicts that the ARB Foundation is preparing to sell its ETH holdings. Typically, whales prefer to store their assets outside CEXs and under their own custody, mainly for security reasons. They transfer these assets to CEXs when they want to exchange them for fiat or other cryptocurrencies. Meanwhile, the ARB Foundation’s ETH transfer and other potential bearish signals are suppressing the price of ETH. This, in turn, is causing the altcoin price to fall. The ETH price fell by 1.6% in the early hours of Sunday. Moreover, according to analysts, it is likely to fall further. The price is testing the support at the 0.236 Fibonacci level on the daily chart. It’s also possible that ETH could fall towards the $2,116 support it saw in the August 5 crash.

Ethereum fees at the lowest level since August 2020!

August is set to be the worst month for the leading altcoin Ethereum in terms of network fees generated since the DeFi Summer of 2020. According to researcher Thor Hartvigsen, this marks a more than 20x drop from its peak. The researcher attributes this historic decline to the migration of network activity to L2s and the introduction of blobs with the implementation of ERC 4337. Hartvigsen analyzes the flow of ETH fees from various perspectives (stakers, non-stakers and others) and realizes that in 2024 alone, the flow of full fees to stakers decreased by over 90%. As a result, the inflation rate for ETH is now 0.7% per year. This, coupled with the prolonged stagnation in the altcoin’s price, is bound to upset the community and traders alike.

Is ETH no longer ultra sound money??❌?(5-min read)

August is on track to be the worst month in terms of fees generated on Ethereum mainnet since early 2020.

Since blobs went live in March, L2s no longer pay any meaningful fees to Ethereum and ETH holders.

Significant… pic.twitter.com/OuyrTvoOUr

The ultra-sound coin thesis is dead: Is ETH looking for new narratives?

Overall, the analyst notes that Ethereum is no longer an outlier with a net deflationary supply and feels that like other infrastructure layers, it needs another way to be valued. At the same time, the altcoin community outlines a four bullish monetary narrative for ETH even in the current state of affairs. Liam, community manager of Ethereum’s L2 Scroll, defines the current ETH tokenomics as “healthy and sustainable issuance” that ensures Ethereum maintains its dominance as a smart contract ecosystem.

Ethereum is firing on all cylinders:– ETH is the dominant asset across all major L2s.– ETF unlocking a new paradigm for institutional investors.– Healthy and sustainable issuance through PoS + EIP-1559.– More users and devs onboarding via L2s than any other ecosystem.

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