A major Ethereum whale has offloaded 10,000 ETH worth $15.71 million after a 900-day holding period, triggering concerns of broader market capitulation amid escalating trade tensions. The significant sell-off comes as Trump’s China tariffs continue to rock crypto markets, pushing Ethereum below critical support levels.
Whale Capitulation Signals Market Uncertainty
According to on-chain analytics platform Lookonchain, the whale originally accumulated their position at an average price of $1,295 between October and November 2022. Despite holding through Ethereum’s rise above $4,000 in early 2024, the investor chose to exit with a modest $2.75 million profit – far below their peak unrealized gains of $27.6 million.
Broader Market Impact
This whale’s exit coincides with a larger trend, as ETH/BTC ratio hits a 6-year low. Additional data shows over 500,000 ETH dumped by major holders in just 48 hours, suggesting growing bearish sentiment among large investors.
World Liberty Financial’s Growing Losses
Adding to market concerns, Donald Trump’s World Liberty Financial (WLFI) appears to be cutting losses, selling 5,471 ETH at $1,465. The firm’s total unrealized losses now exceed $125 million on their 67,498 ETH position, purchased at an average of $3,259.
Technical Outlook
Crypto analyst Ali Martinez projects further downside, with $1,200 emerging as a potential support level. Currently trading at $1,400, Ethereum has declined over 8% in 24 hours, with market participants closely monitoring whale activity for additional selling pressure.
FAQ Section
Q: Why are Ethereum whales selling now?
A: The combination of Trump’s trade tariffs, broader market uncertainty, and technical weakness has prompted large holders to reduce exposure.
Q: What’s the significance of the $1,200 support level?
A: This price point represents a key technical and psychological support that could determine Ethereum’s medium-term trajectory.
Q: How does this impact retail investors?
A: Increased whale selling typically precedes further price declines, suggesting caution may be warranted for short-term positions.