The transfer of 15,000 ETH has led to suspicions that the Ethereum Foundation might be engaging in a selloff.
Ethereum Price Sees 3% Dip
Ethereum took a bearish turn overnight plunging by 3.07% and trading at $3,694.88. As soon as the price started falling, an Ethereum Foundation-related wallet allegedly deposited 15,254 ETH valued at $56.1 million into the Kraken exchange.
When the $ETH price started to drop, an #EthereumFoundation-related wallet deposited 15,254 $ETH($56.1M) into #Kraken 8 hours ago.
The $ETH in this wallet comes from an #EthereumFoundation wallet and a wallet that received 200K $ETH in the Ethereum ICO.https://t.co/j7KPmMt1i8 pic.twitter.com/8Oi5zWMeiC
— Lookonchain (@lookonchain) June 8, 2024
According to blockchain analytics firm Lookonchain, the ETH in this wallet comes from an Ethereum Foundation wallet and an address that received 200,000 ETH in the protocol’s ICO years ago.
These movements of the second-largest digital asset have suddenly become prevalent following the United States Securities and Exchange Commission (SEC) greenlight on spot Ethereum ETFs. About a week ago, liquidation in the crypto market topped $155 million within the space of 24 hours. Of all the hundreds of cryptocurrencies, Ethereum topped the chart, recording liquidations of $27.8 million.
The huge liquidation caused market observers to suspect that many margin positions are getting liquidated. This is notably fueled by the notable drop in the price of the crypto. Unfortunately, the price dip is here again and may have equally contributed to the potential selloff.
Ethereum Trading Volume up by 39%
Within the last 24 hours, Ethereum’s market capitalization has plummeted by 2.96% now pegged around $443.9 billion. Meanwhile, its trading volume is at $18 billion after a 39.78% surge, a trend showing a unique contrast in visible uncertainty surrounding the coin.
The Ethereum’s trading volume suggests that the recent ETH transfers are not tied to a lack of interest from investors.
In other news, a pre-mine address containing approximately $21 million worth of Ethereum recently became active after laying dormant for 8.9 years. Upon reactivating the account, the holder performed two separate transactions which involved the transfer of 1 ETH to different addresses. This also underscores the susceptibility of Ethereum to selloffs at the moment.
Disclaimer: The information provided in this article is for informational purposes only. It does not constitute investment, financial, trading, or any other sort of advice. You should not treat any of Crypto-Vanguard’s content as such. Crypto-Vanguard does not recommend that any cryptocurrency should be bought, sold, or held by you. Do your due diligence and consult your financial advisor before making any investment decisions.