Coinspeaker
Crypto Trader Suffers $58 Million Loss as ETH/BTC Pair Reaches Multi-Year Lows
As the price of Ethereum
ETH
$2,540
24h volatility:
0.4%
Market cap:
$305.80 B
Vol. 24h:
$17.66 B
continues to struggle, the ETH/BTC pair has fallen to a multi-year low, causing substantial losses for crypto traders who took this position. The price of ETH has hovered around the $2,500 mark, lacking sufficient momentum for a rebound.
According to the latest data from Spot on Chain, crypto trader James Fickel has experienced a substantial loss exceeding 23,000 ETH, valued at $58 million, due to his long position in the ETH/BTC pair. This trading pair has now reached its lowest point since April 2021.
In the last two days, the ETH/BTC trading pair dipped to 0.037, while Fickel modified his position by converting an additional 4,418 ETH (approximately $11.13 million) into 166 WBTC. This represents his second major reduction of his trading position in just 37 days.
At present, Fickel has an outstanding debt of 1,116.6 WBTC (around $75.5 million) on Aave and has recently made a request to withdraw 4,731 ETH from Lido, hinting at the possibility of more swaps to come.
James Fickel (@jamesfickel) is losing over 23K $ETH ($57.9M) on his ETH/BTC long position as the pair hits its lowest since April 2021!
Notably, after the rate fell to 0.037 over the last 2 days, James Fickel further swapped 4,418 $ETH ($11.13M) for 166 $WBTC, reducing his… https://t.co/qShcXm4wgr pic.twitter.com/LqQbwHuQ7g
— Spot On Chain (@spotonchain) October 25, 2024
Moreover, crypto market analysts are cautioning that the correction in ETH’s price may not be entirely finished. In a recent analysis, crypto analyst Benjamin Cowen drew comparisons to Ethereum’s price fluctuations from 2016, noting significant declines in April, August, and December of that year.
In 2024, Ethereum has experienced similar dips in April and August, leading Cowen to suggest a “decent chance” for another decline by the end of the year, with the possibility of reaching a low in December.
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Photo: TradingView
- Further Decline in Ethereum Dominance Possible
Additionally, analyst Benjamin Cowen highlighted a notable decrease in Ethereum’s market dominance over the past year, dropping from 18.85% to 13.36%. He emphasized that early recognition of this trend would have been advantageous, as current investors may find themselves at a disadvantage.
While discussions of “ETH is dead” may arise, Cowen maintains that this downturn was anticipated. If the current trend persists, he sees the next major support level for ETH dominance at approximately 9-10%. Although he anticipates a potential recovery in 2025, he warns that further declines may occur in 2024.
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Photo: TradingView
- Conversely, inflows into spot Ethereum ETFs have been disappointing since their launch in July. Unlike Bitcoin ETFs, Ether ETFs have not attracted significant institutional interest, with daily inflows nearly nonexistent.
An #Ethereum ICO participant just returned after 4 months of silence and deposited 3,000 $ETH ($7.63M) to #Kraken 23 minutes ago.
Currently, this whale holds 37,070 $ETH ($94.3M). The whale used to receive 254,908 $ETH (then $79K, now $648M) at the Genesis block in July 2015, at… pic.twitter.com/uU5u8Ro8w3
— Spot On Chain (@spotonchain) October 24, 2024
Furthermore, Ethereum ICO whales have been periodically liquidating their holdings, negatively impacting market sentiment. Recently, an Ethereum ICO participant deposited nearly $8 million worth of ETH onto crypto exchange Kraken after a four-month hiatus.
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Crypto Trader Suffers $58 Million Loss as ETH/BTC Pair Reaches Multi-Year Lows
