Ethereum-backed investment firm Abraxas Capital pulls out $297 million, hinting at a market easterly shift
A Massive Ethereum Move by Abraxas Capital Puts Spotlight on Bullish Trends
London-based Abraxas Capital, an esteemed player in digital asset management, has made a staggering move, shifting 138,511 ETH, equating to a whopping $297 million, from centralized exchanges over the last two days.
This blockbuster withdrawal caught the eye of the crypto community as it coincided with a major spike in Ethereum's (ETH) price, leaping 20% in the past 24 hours to an impressive $2,371, before hovering around $2,295. No surprise there, since reduced selling pressure and institutional confidence can bring about such surges in price.
Data from Lookonchain provides a closer look at Abraxas Capital's moves, revealing that this large-scale transfer suggests a strategic shift towards long-term custody and a reduced intent to sell – bullish signals, as they decrease immediate market supply and reflect faith in upcoming price appreciation.
Interestingly, while Abraxas Capital withdrew 61,401 ETH over two days, on-chain data indicates that the total figure across multiple transactions came out to be 138,511 ETH. This withdrawal scenario isn't unheard of, as the broader crypto space is currently experiencing a wave of accumulation.
Meanwhile, the Ethereum (ETH) market experienced some notable activity as open interest in futures surged by 20%, while trading volume skyrocketed by 184%. Simultaneously, over $265 million in short positions were liquidated, further boosting the price rise. Despite a 54% gain in the last month, ETH remains 26% down for the year. However, analysts at CryptoQuant highlight an intriguing fact: Ethereum is at its most undervalued level relative to Bitcoin since 2019, based on the ETH/BTC MVRV ratio.
Established by Fabio Frontini in 2002, Abraxas Capital Management has been carving a top-tier presence in the asset management sphere. As digital assets came to the forefront in 2017, Abraxas Capital swiftly ascended to become a global industry leader. Presently, this market darling is stirring excitement with its massive Ethereum withdrawal, a testament to the growing sway of institutions in the Ethereum markets.
- Abraxas Capital, a leading player in digital asset management, recently moved 371,010 tokens (138,511 Bitcoin) from centralized exchanges, worth approximately $297 million in cryptocurrency.
- This substantial withdrawal coincided with a significant 20% increase in Ethereum's price, reaching $2,371, before settling around $2,295.
- Data reveals that Abraxas Capital's move suggests a strategic shift towards long-term custody and a reduced intent to sell, which can result in decreased immediate market supply and reflect faith in upcoming price appreciation.
- The Ethereum market has seen active investment, with open interest in futures surging by 20% and trading volume skyrocketing by 184%.
- A total of eth8 (138,511) ETH was withdrawn over two days, and although Abraxas Capital withdrew 61,401 ETH, on-chain data indicates that multiple transactions were involved.
- Despite a 54% gain in the last month, Ethereum remains 26% down for the year, but analysts at CryptoQuant claim that Ethereum is at its most undervalued level relative to Bitcoin since 2019, based on the ETH/BTC MVRV ratio.
- Founded by Fabio Frontini in 2002, Abraxas Capital Management has built a top-tier presence in the asset management sphere and has become a global industry leader in digital assets since their rise in 2017, now stirring excitement with its massive Ethereum withdrawal, which highlights the growing influence of institutions in the Ethereum markets.