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Ethereum has once again captured the attention of large investors as whales are back to buying ETH, signaling renewed confidence in the second-largest cryptocurrency. As the token holds steady above $3,700, on-chain data shows a significant uptick in accumulation by some of the market’s most influential players.
ETH Accumulation Accelerates in July
Over the past two months, Ethereum has seen a rapid increase in inflows to accumulation addresses—wallets that receive ETH but show no outgoing activity. According to on-chain analytics platform CryptoQuant, more than 7 million ETH has flowed into these wallets since May. This sharp rise suggests that long-term holders and whales are aggressively positioning themselves for a potential supply squeeze ahead of broader institutional adoption.
This trend has turned parabolic in July, with the number of daily active unique addresses surging close to 600,000. This heightened activity comes even as the broader crypto market remains in a consolidation phase. With Ethereum trading at $3,711.34 and maintaining a market dominance of 11.2%, the current price range appears to be a comfortable zone for accumulation.
Over-the-Counter and Exchange Activity Reveals Real Demand
In the last 24 hours, multiple large-scale ETH transactions have been recorded, both via OTC (over-the-counter) desks and open exchange markets. These purchases aren’t just automated trades or market noise—rather, they reflect calculated moves by new and existing whales.
Two newly created whale wallets were identified this past week, collectively amassing over $240 million worth of ETH. One of these wallets acquired 32,640 ETH through an OTC deal involving Galaxy Digital, while the other used FalconX to accumulate 105,977 ETH within just four days.
Interestingly, Galaxy Digital itself has expanded its Ethereum reserves to 71 million ETH, although whales quickly bought up 10 million from this stash. Meanwhile, Wintermute, another major OTC desk, reported its ETH reserves had been nearly exhausted, holding just 12,710 ETH, an amount insufficient for even a single whale-scale order.
World Liberty Fi Expands Its Ethereum Position
Among the notable institutional buyers, World Liberty Fi—a multi-chain investment fund backed by former U.S. President Donald Trump—has also stepped up its Ethereum acquisitions. The fund reportedly added 3,473 ETH, valued at $13 million, to a newly flagged wallet. This ETH is being used not just for holding, but also as collateral in decentralized finance (DeFi) applications.
Recently, 1,000 ETH was deposited into Aave V3, highlighting World Liberty Fi’s strategy of combining asset accumulation with active DeFi participation. The fund is also working to make its native WLFI token tradable, aiming to secure trading pairs and liquidity through partnerships and infrastructure development.
Is Ethereum Facing a Short-Term Supply Crunch?
Despite Ethereum’s ample overall supply, the growing number of locked tokens—whether in staking contracts, smart contracts, or long-term storage wallets—is reducing the amount available for immediate trading. This has led some analysts to suggest that ETH may be entering a short-term supply crunch, particularly if more whales continue buying at the current pace.
With spot Ethereum ETFs pending regulatory approval in major markets, and more institutions building reserves for future DeFi usage or on-chain strategies, ETH is increasingly viewed as a strategic asset. Whales appear to be preparing for a future where owning ETH unlocks opportunities across a range of decentralized ecosystems.
Why Whales Are Back to Buying ETH Now
Several factors are driving this wave of whale interest in Ethereum:
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DeFi utility: ETH is essential collateral in DeFi platforms like Aave, Compound, and Maker.
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Network growth: Ethereum’s activity metrics, including gas usage and smart contract deployments, remain strong.
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Upcoming institutional demand: With ETF speculation and more regulated platforms entering the market, whales may be front-running retail and institutional demand.
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Long-term value: As ETH transforms into a yield-bearing, deflationary asset through staking and EIP-1559 burn mechanics, it is becoming increasingly attractive for strategic investors.
Conclusion: ETH Gaining Strength as Whales Accumulate
The narrative that whales are back to buying ETH isn’t just speculation—it’s backed by hard data and sizable transactions. As the token stabilizes above $3,700, the accumulation trend points to strong belief in Ethereum’s future utility, growth, and value.
While retail investors remain cautious amid consolidation, whales are quietly building positions, suggesting that the next big move for ETH could be driven by those already locking in their holdings. Whether for staking, DeFi, or treasury strategy, Ethereum is once again proving itself to be a cornerstone of the digital asset world.
