Data shared by analytics platform LookonChain revealed that Ethereum co-founder, Vitalik Buterintransferred nearly 150 million reais in Ethereum to US brokerage Kraken, followed by Ethereum foundationwho transferred 15,000 ETH to the same platform, totaling nearly $30 million.
While the exact reasons for the sale of Ethereum by Buterin and the Ethereum Foundation have not been confirmed, some analysts suggest they may be seeking liquidity to fund development projects.
Typically, the Ethereum Foundation sells small amounts of ETH to manage operations and Vitalik Buterin often dumps meme coins he received in his wallet. But this time it’s different.
Lookonchain shared that the vitalik.eth wallet was the first to move 200 Ethereum (worth about $400,000) to US-based Kraken. After the Buterin transaction, the Ethereum Foundation did the same, but on a much larger scale: they also transferred 15,000 ETH to Kraken.
After vitalik.eth 200 transferred $ETH($396K) to #CrackETH Foundation also transferred 15,000 $ETH($29.7 million) to #Crack.https://t.co/FPVeH3Z8sJhttps://t.co/AHALnpKtxd pic.twitter.com/iLIHghJUIX
— Lookonchain (@lookonchain) May 6, 2023
Autumn sign?
Regardless of the reasons why Buterin sold his assets, the fact that two of Ethereum’s top holders are selling large amounts of the cryptocurrency is major news for the market.
The movements of major cryptocurrency holders often affect cryptocurrency prices and can erode investor confidence in the broader market.
Some investors speculate that these sales could be related to recent regulatory developments or simply as a profit strategy.
The sales come at a time when Ethereum is trading at $1,960, with on-chain data firm Santiment predicting that the second-largest cryptocurrency in the market could soon surpass $2,500.
According to historical records, a major move of ETH by the Ethereum Foundation led to a massive price drop. The last time 20,000 ETH was transferred to Kraken on Nov 12, 2021, the ETH price dropped 40% within 2 months.
Source: Live Coins
Barry Siefert is an accomplished journalist and author at The Nation View. He is known for his expertise in the field of cryptocurrency, and has written extensively on the topic. With a background in finance and economics, Barry has a deep understanding of the underlying technology and market forces that drive the crypto industry.
