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ethereum price could face some turbulence as <a target="_blank" href="https://bitcoinist.com/justin-sun-119-million-ethereum-sell-off-market-strategy-or-warning-sign/amp/” rel=”nofollow”>Justin SunThe founder of Tron (TRX), has withdrawn a whopping $209 million from Lido Finance, a decentralized liquid staking platform for ethereum. Compared to major cryptocurrencies like bitcoin (btc) and Dogecoin (DOGE)ethereum price has had a relatively moderate performance, skyrocketing to $4,000 before consolidating and struggling higher. With the possibility of further settlements, ethereum could see its price fall if Sun decides to throw more coins.
Justin Sun dumps eth
New<a target="_blank" href="https://x.com/spotonchain/status/1868522021594030142?s=46″ rel=”nofollow”> information from Spot On Chain, an ai-powered crypto platform, revealed that Sun recently requested to withdraw a staggering 52,905 eth tokens worth approximately $209 million. Lido Finance. According to on-chain data, this massive withdrawal was part of the eth stash that Sun allegedly accumulated between February and August 2024.
Spot On Chain has revealed that the total amount of ethereum Sun bought During this period they amounted to 392,474 eth tokens, valued at $1.19 billion. All of these tokens were purchased through three wallet addresses at an average price of $3,027. Currently, the total profits that the founder of Tron has obtained since his purchase amount to $349 million, which represents an increase of 29% compared to his purchase price.
Interestingly, on October 24, Sun had removed a whopping 80,251 eth tokens, worth over $131 million, from Lido Finance. Four days later, he transferred the entire amount to binancethe world's largest crypto exchange. This notable move took place just before the price of ethereum dropped sharply by 5% in mid-October, which could have resulted in a loss for Sun.
Unsurprisingly, this is not the first time Sun has divested from ethereum. Spot On Chain revealed earlier this month that the Tron founder had been <a target="_blank" href="https://bitcoinist.com/justin-sun-70m-cash-out-follows-ethereum-rally/amp/” rel=”nofollow”>cash out your ethereum holdings during the market rally.
In November, sun. <a target="_blank" href="https://x.com/spotonchain/status/1855797478379118668?s=46″ rel=”nofollow”>deposited 19,000 eth worth $60.83 million to HTX, a crypto exchange. Furthermore, he <a target="_blank" href="https://x.com/spotonchain/status/1865574382527287296?s=46″ rel=”nofollow”>transferred 29,920 eth valued at $119.7 million for HTX again after its price surpassed $4,000 over the past week. These are just some of the transactions the Tron founder made with eth over the last month.
Given Sun's history of large-scale asset movements, further sell-offs could impact the already fragile ethereum market. However, the outstanding question remains whether the Tron founder will continue his <a target="_blank" href="https://thecryptobasic.com/2024/09/21/ethereum-foundation-dumps-763000-eth-as-price-pumps-to-2550/” rel=”nofollow”>ethereum dumping wave.
Is an ethereum price drop coming?
While Sun has not commented publicly on his recent large scale ethereum withdrawalsThe size and timing of these transactions could pose a problem for the altcoin's future trajectory. Historically, large eth liquidations have caused a price crash due to increasing sales pressures.
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With the price of ethereum still unstable and pointing to a stronger bullish rallyMore large-scale eth dumps could exacerbate market volatility, especially if other investors or whales follow suit. For now, ethereum price appears to be working wellrecording an increase of more than 7% in the last seven days and a 28% increase over the last month, according to CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com
