Ethereum News: Bitcoin OG Erik Voorhees Buys $56.5M ETH as Price Nears $2300

Key Insights:

• The latest Ethereum news reveals that Shapeshift founder Erik Voorhees returned to buying Ethereum this week.
• He snapped up over $56.5 million worth of Ether as ETH price surged.

Early Bitcoin supporter and Shapeshift founder Erik Voorhees has re-entered the market with an enormous amount of Ethereum (ETH). The latest Ethereum news update suggests renewed interest in ETH. Ethereum price gained nearly 8% today and is approaching the $2,300 level.

Ethereum News: Erik Voorhees Hoards Massive ETH Reserve

Data from the blockchain tracking platform Lookonchain shows that Voorhees first spent 49.08 million USDT to purchase 23,393 ETH across two wallets. The trades were carried out at an average cost of approximately $2,098 per ETH. This Ethereum news comes after BlackRock introduced a staked ETH ETF, which boosted the bullish momentum in the market.

Ethereum News – Erik Voorhees Buys More Ethereum | Source: Lookonchain (X)

Other blockchain records on Arkham Intelligence show that one of the wallets continued purchasing $49 million in Ether. A wallet labeled, 0x3e6…Ef2f7, recorded additional swaps of USDT to ETH. After these purchases, the wallets had a total of 24,968 ETH, which is worth about 56.5 million today.

Moreover, Lookonchain analysts expect further ETH purchases as the wallet continues to hold over $4 million in USDT. The second wallet ending with x43110c91 has already exhausted its USDT balance to buy ETH.

For further context, the most recent purchase is about a year following the sale of a large position in Ether. On-chain documentation indicates that Voorhees sold 12,886 ETH when the Ethereum price was $3,324. Hence, the Ethereum news today marks his return to holding ETH as the crypto market recovers.

Tokenized Gold Strategy in Sight

Just before this Ether accumulation, Voorhees had scooped up a major stake in tokenized gold assets. He allegedly made 28 new wallets since January 31 in order to buy gold-backed tokens.

According to Lookonchain, this weekend, he invested $23.76 million to buy 2,834 XAUT worth $13.78 million and 2,019 PAXG at a cost of $9.97 million. Such holdings currently show unrealized profits of approximately $513,000.

Ethereum Price Bullish Sentiment Backed By Exchange Outflows

On-chain trends also indicate a boost in demand in Ethereum. According to crypto analyst Ali Martinez, an estimated amount of 336,000 ETH was withdrawn by crypto exchanges in the last week.

Ethereum Witnesses Exchange Outflows | Source: Ali Charts (X)

High levels of exchange outflows indicate that investors are willing to hold the asset for the long term rather than sell it. Furthermore, the greater crypto market has recently shown an upside momentum.

At press time, Ethereum futures traded at about $2,270, up by over 7% on Monday, March 16. Technical analysis indicates that bullish sentiment began to gain momentum earlier in March, when Ethereum retested the $2,000 level.

As the latest Ethereum news gains traction, trading activity zones have also shifted in an upward direction over recent weeks. Earlier, buyer participation clustered between $1,975 and $2,075. That later shifted to a higher range of $2,125-2,175 and has now entered the $2,225 -2,275 bracket.

As Ethereum news about Voorhees emerged alongside other buyers, analysts grew optimistic amid a surge in trading activity. It indicates that buyers are also willing to enter the market despite the inflated price, owing to their belief in long-term price appreciation.

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