The Ethereum Foundation has once again stirred community speculation, selling off 200 ETH on Monday in a move that’s got investors talking.
This latest sale, executed in two separate transactions, adds to a growing pattern of ETH liquidations by the foundation.
September has seen the Ethereum Foundation offload a total of 1,150 ETH, worth approximately $2.8 million at current prices. The timing of these sales, amidst a period of market volatility, has some traders on edge. The ETH was sold for 527,989 DAI today.
https://twitter.com/WuBlockchain/status/1838175391015645546
Ethereum’s price shows resilience
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While Ethereum’s price has shown resilience, trading in the green at $2,645 (up 3% in 24 hours), institutional sentiment tells a different story. CoinShares data reveals that Ethereum has experienced weekly outflows of $28.5 million, with month-to-date outflows reaching $145.7 million.
This institutional exodus stands in stark contrast to Bitcoin’s performance. BTC has seen $284 million in weekly inflows and $76 million in month-to-date inflows, suggesting a shift in big money preferences.
The Ethereum Foundation’s selling spree, occurring every few days from a wallet address ending in ‘0xd77,’ has amplified concerns about Ethereum’s market stability. However, it’s worth noting that foundations often sell assets to fund ongoing development and operations, which isn’t necessarily a bearish indicator.
Despite the foundation’s actions and institutional outflows, Ethereum’s price has remained surprisingly stable. The asset has traded between $2,528.52 and $2,685.68 in the past day, defying expectations of a downturn.
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Some view the institutional outflows and foundation sales as smart money exiting before a potential downturn. Others see it as an opportunity, arguing that Ethereum’s fundamental value proposition remains strong despite short-term market movements.
