Ethereum Whales Loses Nearly 25% Of Their Holdings Amid Market Shift

bitcoinistPublished on 2026-05-09Last updated on 2026-05-09

Abstract

Ethereum whales, defined as addresses holding between 1,000 and 10,000 ETH, have sharply reduced their holdings by approximately 21.5% (from 15.95 million to 12.52 million ETH) between October 2025 and May 2026. This sell-off, flagged as a supply overhang by analyst Ali Charts, indicates fading bullish sentiment among major investors and raises questions about short-term market stability. It contrasts with a previous accumulation phase and recent buying sprees, suggesting Ethereum's price may struggle to reach $3,000 without new institutional or retail demand. Concurrently, Ethereum's utility is growing, with tokenized U.S. treasuries on its network surpassing $8 billion, highlighting its role in traditional finance despite current price struggles below $2,300.

With the crypto market turning slightly bearish, the Ethereum price has lost the $2,300 mark, raising questions about the stability of its recent upswing. Amid this sideways price action, a report shows that a fading bullish sentiment among Ethereum whales is evidenced by a significant decline in their holdings.

Large ETH Players’ Portfolio Shrinks Sharply

After examining Ethereum whales‘ holdings, Ali Charts, a seasoned market expert and trader, revealed that these key investors are exhibiting a trend not seen in over a year. While ETH’s price is slowly losing its upside momentum, a major wave of selling has rattled the ETH market.

This heightened selling activity was observed among large investors or whales holding between 1,000 ETH and 10,000 ETH as they dump nearly a quarter of their holdings in the face of uncertainty. Such a trend underscores a major decrease in exposure, which raises questions about confidence and short-term market stability.

Since October 6, 2025, Ethereum holders between 1,000 and 10,000 ETH have undergone a notable regime shift in their market activity. Prior to the shift, the cohort was spotted in a steady accumulation phase. During the period, these investors’ ETH portfolio saw a rise from 12.95 million ETH in April 2025 to a peak of 15.95 million ETH by October 6, 2025. Fast forward to May 2026, and this behavior has flipped again.

Source: Chart from Ali Charts on X

As seen in the chart shared by Ali Charts, the amount of ETH held by these mid-tier whales has dropped from 15.95 million to about 12.52 million, which represents an approximately 21.5% decrease in their total position. This simply implies a dramatic change in positioning from some of the network’s largest investors.

Ali Charts have flagged this development as a supply overhang. According to the expert, this suggests that the road to the $3,000 may require a fresh wave of demand from institutional or retail investors to offset whale distribution.

It is worth noting that a few days ago, ETH whales went on a buying spree. During the period, over 140,000 ETH, valued at around $322 million, were scooped up by these key players. When high-net-worth holders are buying more, it is a sign that smart money is positioning for a breakout.

Tokenized Treasuries Surges On The ETH Network

Even with the Ethereum price still significantly down from its all-time high, this drop has not hindered institutional adoption, which is currently accelerating. Coin Bureau has reported a surge in tokenized treasuries across the leading network.

The chart shows that the ETH network just surpassed $8 billion in tokenized US treasuries for the first time in its history. The rise in blockchain-based sovereign debt instruments underscores Ethereum’s growing relevance as a foundation for actual financial assets.

In addition, the week experienced the expansion of Stripe’s BRIDGE stablecoins to Celo and plans for Canada’s first regulated stablecoin on Ethereum. Despite the growth, ETH’s price continues to struggle to break key short-term resistance.

ETH trading at $2,279 on the 1D chart | Source: ETHUSDT on Tradingview.com

Related Questions

QAccording to the article, what has happened to the holdings of Ethereum whales in the range of 1,000 to 10,000 ETH?

ATheir holdings have dropped sharply, decreasing by approximately 21.5% from 15.95 million ETH in October 2025 to about 12.52 million ETH by May 2026.

QWhat does market expert Ali Charts suggest is needed for Ethereum's price to reach $3,000?

AAli Charts suggests that reaching $3,000 may require a fresh wave of demand from institutional or retail investors to offset the distribution pressure from whale selling.

QWhat positive development regarding institutional adoption is reported on the Ethereum network despite the price drop?

ATokenized US treasuries on the Ethereum network have surged, surpassing $8 billion for the first time in its history, indicating growing institutional adoption for real financial assets.

QHow did the behavior of the 1,000-10,000 ETH whale cohort change in early October 2025?

ATheir behavior shifted from a steady accumulation phase, where holdings grew from 12.95 million ETH in April to a peak of 15.95 million ETH, to a significant selling phase starting around October 6, 2025.

QWhat was the approximate value and amount of ETH that whales reportedly bought in a recent buying spree mentioned in the article?

ADuring the recent buying spree, whales scooped up over 140,000 ETH, which was valued at around $322 million at the time.

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