Justin Sun has reportedly purchased $890 million worth of Ethereum

In recent developments, questions have been raised about whether Justin Sun, a prominent figure in the crypto world, has acquired a significant amount of Ethereum (ETH). If true, this could further contribute to pushing the price of ETH to $3,500 and above.

Lookonchain, an on-chain data provider, highlights intriguing activity in whale wallets believed to be connected to Sun. Since April 8, a wallet suspected that it belongs to Sun, reportedly acquired 127,388 ETH, worth $405.19 million.

Remarkably, this wallet has deposited a significant sum of 787 million USDT to Binance on the Tron Network (TRX) since March 31. Additionally, on the same date, a mysterious wallet appeared on the Ethereum blockchain that withdrew $96.8 million worth of Binance stablecoins.

Notably, this wallet started purchasing ETH from both Binance and decentralized exchanges, accumulating a total of 127,388 ETH worth $405.19 million, at an average price of $3,172. These actions mirror those of a previously linked wallet to Sun, which acquired 168,369 ETH worth $487 million between February 12 and 24. If these wallets indeed belong to Sun, his ETH holdings would amount to a significant 295,757 ETH, worth $891 million, acquired at an average price of $3,014 as of February 12 through Binance and decentralized exchanges.

At the time of writing, Ethereum price is trading 1.58% higher at a price of $3,226 and a market cap of $387 billion. Analysis of the ETH/USD pair of hourly charts shows a significant breakout as Ethereum breaks two interconnected downtrend lines positioned at the $3,070 and $3,150 markets.

Currently, Ethereum’s value exceeds $3,190 and maintains a position above the 100-hour Simple Moving Average, indicating a bullish outlook. Initial resistance level is observed at USD 3,200, with notable barriers at USD 3,250 and USD 3,280. Overcoming these obstacles could push Ethereum towards $3,350 and possibly beyond.

On the other hand, failure to break the $3,250 resistance could lead to a downtrend. In such a scenario, critical support is expected around USD 3,150. Further decline below the USD 3,120 level and the 100-hour SMA could increase selling pressure, pushing prices towards USD 3,020 and even as low as USD 2,965.