Ethereum Whales Sell Off Holdings as Institutions Bet on Price Recovery

Ethereum whales trimmed their holdings by 2.9% between May and August, selling off nearly 1.7 million coins. This reduction in large-scale investor activity contrasts with smaller wallets holding between 1 to 10 ETH, which increased their share of the market.

Meanwhile, staked ETH has reached a record high of 42.3 million coins, indicating strong demand for Ethereum's proof-of-stake network despite the challenges faced during Q2.

The institutional investor confidence in Ethereum is also reflected in the growing use of Coinbase's staking services, which allows investors to earn rewards and secure assets on Ethereum and other networks like Solana.

Furthermore, bullish options targeting a price recovery to $2,500 to $3,000 by September have been placed, potentially doubling the price from its June low of $1,500. As a result, ETH's price has surged 26% this week to $2,500, reversing Q2 losses.