Whales became active after crypto prices fell to their lowest levels and started buying the dip. As a result, the crypto market recovered and Bitcoin and Ethereum prices rose by more than 8% and 10% respectively. Now whales seem to have started removing Ethereum from liquidity pools and Defi liquidity platforms.

Whales Remove Ethereum (ETH) Holdings

According to PeckShieldAlert, a whale deleted 84K Ethereum (ETH) worth nearly $103 million from Lido: Curve Liquidity Farming Pool Contract. It caused the stETH/ETH exchange rate to drop from 0.985 to 0.975. A significant depeg between staked Ethereum and Ethereum could be worse for the crypto market.

MEV Bot mediated 104 ETH for $124,800. MEV Bot uses a flash loan to get 8,000 WETH from 0x2718. In addition, the exchange path is 8,000 ETH to 8,272 stETH. Then traded stETH to 8,104 WETH. Then return 8,000 WETH to 0x2718 and make a profit of 104 ETH.

Curve’s liquidity pool balance fell significantly in May. Currently, it has fallen back to May levels, despite a slight increase between July and October.

Plus one more whale has withdrawn 42.4K stETH worth nearly 50 million of Aave Protocol V2. The stETH as collateral was disabled by Aave and most likely traded to Ethereum. The whale also moved 5,000 ETH today, November 24.

The crypto market has seen withdrawals from Curve pools before, but the price rose after the market recovered. The price of Lido Staked Ethereum (stETH) is trading at USD 1,170, up more than 2%. While the ETH price is trading at $1,195, up nearly 2%. The stETH-ETH peg is at 0.9817.

Curve DAO Short Squeeze

As Coingape previously reported, crypto whales went massively short CRV on exchanges. Whales borrowed Curve DAO token on AAVE, Open Source Liquidity Protocol, then sold them on the exchanges.

The whales borrowed more Curve DAO tokens to sell under the AAVE protocol. When the CRV price reached its lower limit, those whales went long on centralized exchanges. The CRV price is trading at $0.6889, up 10% in the last 24 hours.

Varinder is a technical writer and editor, technology enthusiast and analytical thinker. Fascinated by disruptive technologies, he has shared his knowledge about Blockchain, Cryptocurrencies, Artificial Intelligence and the Internet of Things. He has been associated with the blockchain and cryptocurrency industry for quite some time and is currently covering all the latest updates and developments in the crypto industry.

The content presented may contain the personal opinion of the author and is subject to market conditions. Do your market research before investing in cryptocurrencies. The author or publication is not responsible for your personal financial loss.

This post Whales started removing Ethereum (ETH) Holdings, stETH-ETH Depegs

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