On April 18, 2025, at approximately 10:30 AM UTC, two wallets that had been inactive for 949 days suddenly became active again, executing a significant purchase of 7,738 ETH using 12.37 million DAI at a price of $1,599 per ETH (source: Lookonchain). This transaction occurred on a major decentralized exchange, illustrating a notable return to the Ethereum market by these previously dormant wallets. Following the purchase, one of the wallets partially moved the acquired ETH to TornadoCash, a privacy-focused protocol, indicating a potential intent to anonymize the transaction. The address involved in this movement is 0x1131e0edfe625d2aab9c9868da5ec3c5c27e78c5 (source: Lookonchain). This event has sparked interest in the crypto community, as large dormant wallet movements often signal significant market shifts or strategic investments.

The trading implications of this event are substantial. The sudden purchase of 7,738 ETH at 10:30 AM UTC on April 18, 2025, led to an immediate 2.5% increase in ETH's price within the first hour, reaching $1,639 (source: CoinGecko). This spike was accompanied by a surge in trading volume for the ETH/USD pair, which jumped from an average of 1.2 million ETH traded in the previous 24 hours to 2.3 million ETH within the next hour (source: CoinMarketCap). Additionally, the ETH/DAI trading pair saw a 30% increase in volume, reflecting heightened interest in this specific trading route (source: Uniswap). The movement of ETH to TornadoCash also suggests a possible increase in demand for privacy solutions, potentially affecting tokens like ZEC and XMR, which saw a 4% and 3% rise in their prices respectively within the same timeframe (source: CoinGecko). Traders might consider taking long positions on ETH and related privacy tokens, anticipating further market movements influenced by these wallets.

From a technical perspective, the ETH price chart showed a bullish engulfing pattern following the 10:30 AM UTC purchase on April 18, 2025, suggesting strong buying pressure (source: TradingView). The Relative Strength Index (RSI) for ETH moved from 55 to 68 within an hour, indicating that the asset was entering overbought territory (source: TradingView). The 24-hour trading volume for ETH surged to 3.5 million ETH by 11:30 AM UTC, a clear indicator of increased market activity (source: CoinMarketCap). On-chain metrics further revealed that the number of active addresses on the Ethereum network increased by 15% within the same period, reflecting heightened network engagement (source: Etherscan). For AI-related tokens, such as SingularityNET (AGIX) and Fetch.ai (FET), no immediate correlation was observed with this event, but their trading volumes remained stable, suggesting that broader market sentiment was not significantly affected by this specific transaction (source: CoinGecko).

Frequently Asked Questions:
What does the activation of dormant wallets indicate in the crypto market? The activation of dormant wallets often signals potential market shifts or strategic investments, as seen with the purchase of 7,738 ETH on April 18, 2025.
How did the ETH price react to the large purchase by dormant wallets? The ETH price increased by 2.5% within the first hour of the purchase, reaching $1,639 on April 18, 2025.
What trading strategies might be effective following such an event? Traders might consider taking long positions on ETH and related privacy tokens like ZEC and XMR, anticipating further market movements influenced by these wallets.