{"id":626481,"date":"2024-06-26T22:00:23","date_gmt":"2024-06-26T22:00:23","guid":{"rendered":"https:\/\/wncen.com\/?p=626481"},"modified":"2024-06-26T15:16:21","modified_gmt":"2024-06-26T15:16:21","slug":"ethereum-smart-money-quant-bitmex-whales-eth-price","status":"publish","type":"post","link":"https:\/\/wncen.com\/news\/ethereum\/ethereum-smart-money-quant-bitmex-whales-eth-price\/","title":{"rendered":"Ethereum Price Tied To BitMEX Whales: Quant Uncovers Link"},"content":{"rendered":"

A quant has pointed out how the trends in the BitMEX exchange reserve have affected the Ethereum price during the past few years.<\/p>\n

BitMEX Ethereum Whales Have Shown Smart Money Behavior In Recent Years<\/h2>\n

In a CryptoQuant Quicktake post<\/a>, an analyst discussed a pattern in the ETH exchange reserve of the BitMEX platform. The “exchange reserve<\/a>” here refers to an on-chain metric that keeps track of the total amount of Ethereum that’s sitting in the wallets of any given centralized exchange.<\/p>\n

When the value of this metric rises, investors will make net deposits to the platform right now. As one of the main reasons investors transfer to exchanges is for selling purposes, this trend can have potential bearish implications for the asset’s price.<\/p>\n

On the other hand, a decline in the indicator suggests a net amount of the cryptocurrency’s supply is moving off the wallets associated with the exchange. Investors generally take their coins off into self-custody when they plan to hold for extended periods, so such a trend could be bullish for the coin.<\/p>\n

Related Reading: This Historical Ethereum Top Signal Is Yet To Appear This Cycle<\/a><\/div>\n

Now, here is a chart that shows the trend in the Ethereum exchange reserve for BitMEX over the last few years:<\/p>\n

\"Ethereum
The value of the indicator appears to have been moving sideways in recent months | Source: CryptoQuant<\/a><\/figcaption><\/figure>\n

As is visible in the above graph, the Ethereum exchange reserve on the BitMEX platform observed a sharp increase back in mid-2022. This would suggest that the investors had made some hefty net deposits into the exchange.<\/p>\n

According to the quant, the platform houses a significant number of whales<\/a>, so this large inflow activity would reflect the behavior of these humongous investors.<\/p>\n

Interestingly, the rapid growth in the indicator had come right before ETH had crashed towards its bear market<\/a> lows. Thus, it would appear possible that these large holders had anticipated that things were about to get worse for the asset, so they had pulled the trigger on selling while they still had the chance.<\/p>\n

Another notable shift in the exchange reserve of BitMEX occurred in September 2023, when the whales took out a huge amount of Ethereum, almost completely retracing the earlier bear market increase.<\/p>\n

From the chart, it’s apparent that soon after these net outflows occurred, the cryptocurrency’s price started on a sharp rally that would eventually take it above the $4,000 level for the first time since December 2021.<\/p>\n

Related Reading: Shiba Inu, Solana, & Cardano Are All Seeing Buy Signal: Analyst<\/a><\/div>\n

It would appear that these smart money whales were again correct in their intuition about the market, as they could time their buys just in time for the rally.<\/p>\n

Since these net outflows in September, the indicator hasn’t displayed any significant shifts, as its value has been moving sideways. Given the historical trend, any new deviations that crop up could be worth watching out for, as they could potentially spell another shift for Ethereum.<\/p>\n

ETH Price<\/h2>\n

Ethereum showed a recovery push from its lows yesterday, but the run has calmed down as ETH is still trading around $3,400 today.<\/p>\n

\"Ethereum
The price of the asset seems to have rebounded off its recent lows | Source: ETHUSD on TradingView<\/a><\/figcaption><\/figure>\n
Featured image from Dall-E, CryptoQuant.com, chart from TradingView.com<\/div>\n","protected":false},"excerpt":{"rendered":"

A quant has pointed out how the trends in the BitMEX exchange reserve have affected the Ethereum price during the past few years. BitMEX Ethereum Whales Have Shown Smart Money Behavior In Recent Years In a CryptoQuant Quicktake post, an analyst discussed a pattern in the ETH exchange reserve of the BitMEX platform. The “exchange reserve” here refers to an on-chain metric that keeps track of the total amount of Ethereum that’s sitting in the wallets of any given centralized exchange. When the value of this metric rises, investors will make net deposits to the platform right now. As one of the main reasons investors transfer to exchanges is for selling purposes, this trend can have potential bearish implications for the asset’s price. On the other hand, a decline in the indicator suggests a net amount of the cryptocurrency’s supply is moving off the wallets associated with the exchange. Investors generally take their coins off into self-custody when they plan to hold for extended periods, so such a trend could be bullish for the coin. Related Reading: This Historical Ethereum Top Signal Is Yet To Appear This Cycle Now, here is a chart that shows the trend in the Ethereum exchange reserve for BitMEX over the last few years: As is visible in the above graph, the Ethereum exchange reserve on the BitMEX platform observed a sharp increase back in mid-2022. This would suggest that the investors had made some hefty net deposits into the exchange. According to the quant, the platform houses a significant number of whales, so this large inflow activity would reflect the behavior of these humongous investors. Interestingly, the rapid growth in the indicator had come right before ETH had crashed towards its bear market lows. Thus, it would appear possible that these large holders had anticipated that things were about to get worse for the asset, so they had pulled the trigger on selling while they still had the chance. Another notable shift in the exchange reserve of BitMEX occurred in September 2023, when the whales took out a huge amount of Ethereum, almost completely retracing the earlier bear market increase. From the chart, it’s apparent that soon after these net outflows occurred, the cryptocurrency’s price started on a sharp rally that would eventually take it above the $4,000 level for the first time since December 2021. Related Reading: Shiba Inu, Solana, & Cardano Are All Seeing Buy Signal: Analyst It would appear that these smart money whales were again correct in their intuition about the market, as they could time their buys just in time for the rally. Since these net outflows in September, the indicator hasn’t displayed any significant shifts, as its value has been moving sideways. Given the historical trend, any new deviations that crop up could be worth watching out for, as they could potentially spell another shift for Ethereum. ETH Price Ethereum showed a recovery push from its lows yesterday, but the run has calmed down as ETH is still trading around $3,400 today. Featured image from Dall-E, CryptoQuant.com, chart from TradingView.com<\/p>\n","protected":false},"author":542,"featured_media":626498,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[13625],"tags":[956,91456,8323,1946,85755,6931,92649,84086,8686],"class_list":["post-626481","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ethereum","tag-bitmex","tag-bitmex-whales","tag-eth","tag-ethereum","tag-ethereum-exchange-reserve","tag-ethereum-price","tag-ethereum-smart-money","tag-ethereum-whales","tag-ethusd"],"acf":[],"yoast_head":"\nEthereum Price Tied To BitMEX Whales: Quant Uncovers Link<\/title>\n<meta name=\"description\" content=\"A quant has pointed out how the trends in the BitMEX exchange reserve have had an effect on the Ethereum price during the past few years.\" \/>\n<meta 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Keshav has been writing for many years, first as a hobbyist and later as a freelancer. He has experience working in a variety of niches, even fiction at one point, but the cryptocurrency industry has been the longest he has been attached to. In terms of official educational qualifications, Keshav holds a bachelor\u2019s degree in Physics from one of the premier institutes of India, the University of Delhi (DU). He started the degree with an aim of eventually making a career in Physics, but the onset of COVID led to a shift in plans. The virus meant that the college classes had to be delivered in the online-mode and with it came free time for him to explore other passions. Initially only seeking to make some beer money, Keshav unexpectedly landed clients offering real projects, after which there was no looking back. Writing was something he had always enjoyed and to be able to do it for a living was like a dream come true. Keshav completed his Physics degree in 2022 and has been focusing on his writing career since, but that doesn\u2019t mean his passion for Physics has ended. He eventually plans to re-enter university to obtain a masters degree in the same field, but perhaps only to satiate his own interest rather than for using it as a means to find employment.. Keshav has found blockchain and its concepts fascinating ever since he started going down the rabbit-hole back in 2020. On-chain analysis in particular has been something he likes to research more about, which is why his NewsBTC pieces tend to involve it in some form. Being of the science background, Keshav likes if concepts are clear and consistent, so he generally explains the indicators he talks about in a bit of detail so that the readers can perhaps come out having understood and learnt something new. As for hobbies, Keshav is super into football, anime, and videogames. He enjoys football not only as a watcher, but also as a player. For games, Keshav generally tends towards enjoying singleplayer adventures, with EA FC (formerly FIFA) being the only online game he is active in. Though, perhaps due to being ultra-focused on the game, he is today a semi-pro on the EA FC scene, regularly participating in tournaments and sometimes even taking back prize money. Because of his enthusiasm for anime and games, he also self-learned Japanese along the way to consume some of the untranslated gems out there. The skill didn\u2019t merely remain as just a hobby, either, as he put it to productive use during his exploration for small-time gigs at the start of COVID, fulfilling a couple of Japanese-to-English translation jobs. Keshav is also big into fitness, with agility and acceleration-related workouts making a big part of his program due to the relevance they have in football. On top of that, he also has a more traditional strength based program for the gym, which he does to maintain an overall fitness level of his body.","sameAs":["https:\/\/www.linkedin.com\/in\/keshavverma29\/","https:\/\/x.com\/https:\/\/twitter.com\/keshavvarma29"],"url":"https:\/\/wncen.com\/author\/hououinkyouma29\/"}]}},"parsely":{"version":"1.1.0","meta":{"@context":"https:\/\/schema.org","@type":"NewsArticle","headline":"Ethereum Price Tied To BitMEX Whales: Quant Uncovers Link","url":"http:\/\/wncen.com\/news\/ethereum\/ethereum-smart-money-quant-bitmex-whales-eth-price\/","mainEntityOfPage":{"@type":"WebPage","@id":"http:\/\/wncen.com\/news\/ethereum\/ethereum-smart-money-quant-bitmex-whales-eth-price\/"},"thumbnailUrl":"https:\/\/wncen.com\/wp-content\/uploads\/2024\/06\/ETH_cb1bdc.png?resize=200%2C200","image":{"@type":"ImageObject","url":"https:\/\/wncen.com\/wp-content\/uploads\/2024\/06\/ETH_cb1bdc.png?fit=1792%2C1024"},"articleSection":"Ethereum","author":[{"@type":"Person","name":"Keshav Verma"}],"creator":["Keshav Verma"],"publisher":{"@type":"Organization","name":"NewsBTC","logo":"https:\/\/wncen.com\/wp-content\/uploads\/2020\/06\/cropped-cropped-cropped-favicon.png?w=32"},"keywords":["bitmex","bitmex whales","eth","ethereum","ethereum exchange reserve","ethereum price","ethereum smart money","ethereum whales","ethusd"],"dateCreated":"2024-06-26T22:00:23Z","datePublished":"2024-06-26T22:00:23Z","dateModified":"2024-06-26T22:00:23Z"},"rendered":"<script type=\"application\/ld+json\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@type\":\"NewsArticle\",\"headline\":\"Ethereum Price Tied To BitMEX Whales: Quant Uncovers Link\",\"url\":\"http:\\\/\\\/wncen.com\\\/news\\\/ethereum\\\/ethereum-smart-money-quant-bitmex-whales-eth-price\\\/\",\"mainEntityOfPage\":{\"@type\":\"WebPage\",\"@id\":\"http:\\\/\\\/wncen.com\\\/news\\\/ethereum\\\/ethereum-smart-money-quant-bitmex-whales-eth-price\\\/\"},\"thumbnailUrl\":\"https:\\\/\\\/wncen.com\\\/wp-content\\\/uploads\\\/2024\\\/06\\\/ETH_cb1bdc.png?resize=200%2C200\",\"image\":{\"@type\":\"ImageObject\",\"url\":\"https:\\\/\\\/wncen.com\\\/wp-content\\\/uploads\\\/2024\\\/06\\\/ETH_cb1bdc.png?fit=1792%2C1024\"},\"articleSection\":\"Ethereum\",\"author\":[{\"@type\":\"Person\",\"name\":\"Keshav Verma\"}],\"creator\":[\"Keshav Verma\"],\"publisher\":{\"@type\":\"Organization\",\"name\":\"NewsBTC\",\"logo\":\"https:\\\/\\\/wncen.com\\\/wp-content\\\/uploads\\\/2020\\\/06\\\/cropped-cropped-cropped-favicon.png?w=32\"},\"keywords\":[\"bitmex\",\"bitmex whales\",\"eth\",\"ethereum\",\"ethereum exchange reserve\",\"ethereum price\",\"ethereum smart money\",\"ethereum whales\",\"ethusd\"],\"dateCreated\":\"2024-06-26T22:00:23Z\",\"datePublished\":\"2024-06-26T22:00:23Z\",\"dateModified\":\"2024-06-26T22:00:23Z\"}<\/script>","tracker_url":"https:\/\/cdn.parsely.com\/keys\/wncen.com\/p.js"},"jetpack_sharing_enabled":true,"jetpack_featured_media_url":"https:\/\/wncen.com\/wp-content\/uploads\/2024\/06\/ETH_cb1bdc.png?fit=1792%2C1024","amp_enabled":true,"_links":{"self":[{"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/posts\/626481"}],"collection":[{"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/users\/542"}],"replies":[{"embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/comments?post=626481"}],"version-history":[{"count":0,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/posts\/626481\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/media\/626498"}],"wp:attachment":[{"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/media?parent=626481"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/categories?post=626481"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/wncen.com\/wp-json\/wp\/v2\/tags?post=626481"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}