Ethereum (ETH) is facing significant selling pressure following a recent market crash, with major holders continuing to sell off their holdings despite attempts by bulls to stage a recovery.
According to a tweet from user Lookonchain, whale and asset manager Metalpha recently sold nearly $73 million worth of ETH. Data from on-chain transactions shows that 29,557 ETH were moved to a Binance deposit address in the last three hours.
The sell-off comes in the wake of over $1 billion in liquidations hitting the crypto market in the past 24 hours, with ETH-related liquidations accounting for 30% of the total, according to data from Coinglass reports.
Additionally, Jump Crypto has been transferring millions of dollars worth of Ethereum to various exchanges in recent days. The firm has moved 72,213 ETH, valued at $231 million, since July 25, with a significant amount transferred over the weekend.
Bitget CEO Gracy Chen mentioned to CryptoSlate that the selling pressure from entities like Jump Trading, coupled with bearish sentiments following ETF approvals, has contributed to the recent downturn in the market.
In a separate development, the US government moved 300 ETH from a wallet labeled as “Noman Saleem Seized Funds” to an undisclosed address on Aug. 5, as per data from Arkham Intelligence. These funds were seized in May under the order of Judge Julie Rebecca Rubin of the US District Court for the District of Maryland.
ETF Impact
Meanwhile, significant outflows from Grayscale’s Ethereum exchange-traded fund (ETF) ETHE continue. On Aug. 5, over $335 million left the fund, surpassing the $221 million inflows into BlackRock’s ETHA.
The outflows from ETHE are seen as a key factor influencing Ethereum’s price in the short term, similar to the impact of outflows from Grayscale’s GBTC following its launch.
