Is Vitalik Dumping ETH? Sales Just Hit $35 Million

 Key Insights:

• Vitalik has sold 17,196 ETH, exceeding his initial plan of 16,384 tokens.
• Ethereum gained nearly 9% recently, potentially prompting additional token sales.
• Institutional investors continue buying ETH while some treasuries adjust holdings amid market shifts.

Ethereum co-founder Vitalik Buterin has increased his ETH sales, bringing the total value of recent transactions to nearly $35 million. This surpasses his initial plan to sell 16,384 ETH. Lookonchain data shows that Buterin’s wallet balance has decreased by 17,196 ETH since early February. The sales appear to be part of a steady outflow from his wallets over the past month.

Earlier this year, Buterin set aside 16,384 ETH to support privacy-focused projects run by the Ethereum Foundation. At the time, the Foundation described the allocation as part of a period of “mild austerity,” with Buterin personally overseeing the process. Even with these plans, sales have continued past the initial allocation, showing ongoing movement from his wallet.

ETH Price Shows Short-Term Recovery

Ethereum has seen an upward trend recently, with the token rising nearly 9% to $2,066 in a 24-hour period, according to CoinMarketCap. This increase comes after a decline of 37% over the past month. Some reports suggest that the recent price recovery may have influenced Buterin’s decision to sell additional ETH.

Institutional interest in Ethereum has also shifted alongside price changes. U.S. spot Ethereum ETFs recorded $157.08 million in net inflows, led by Fidelity with $61.94 million and Grayscale’s ETHE at $33.87 million. At the same time, large holders such as BitMine have continued purchasing ETH, even while holding unrealized losses, showing a mix of selling and buying activity in the market.

Wallet Activity and Token Reduction

Records show that Buterin’s wallets held 241,000 ETH at the start of February, which has dropped to 223,804 ETH as a result of ongoing sales. Individual transactions over the month include $6.6 million in one three-day period and $7 million over another three days. The continuous outflows reflect a systematic reduction of his holdings.

Analysts note that “the total sales of nearly $35 million raise questions about the remaining supply in his wallets,” although there has been no official statement regarding future sales. The reduction in wallet balances appears to be contributing to market pressure, particularly as Ethereum seeks to stabilize following recent losses.

Institutional Response and Market Trends

Some institutional holders have changed their positions in response to Ethereum’s performance. ETHZilla reportedly exited its Ethereum treasury to focus on RWA tokenization, citing market conditions as a reason for the shift. Meanwhile, other large holders continue to buy ETH, reflecting a mixed response in the market.

The combination of outflows from Buterin’s wallets and inflows into Ethereum ETFs indicates active market participation from both individual and institutional investors. This suggests that while some holders reduce exposure, others see value in the current market trend, contributing to short-term price volatility.

DISCLAIMER: The information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.