$9.8M in ETH Sold: What Ethereum Co-Founder Vitalik Buterin’s Liquidation Means for the Market

Ethereum co-founder Vitalik Buterin has once again been linked to the sale of a substantial amount of ETH, drawing attention and questions within the crypto community.

Blockchain data reveals that a wallet linked to Vitalik Buterin recently sold 190 ETH, valued at around $441,971. This transaction is part of a broader series of sales, totaling 950 ETH and equivalent to $2.28 million since August 30. His average selling price turned out to be $2,396 per ETH.

These transactions have sparked significant reactions among market observers, who scrutinize the timing and potential implications for broader market sentiment.

Vitalik Buterin Offloads ETH Through Strategic Sales

The recent series of ETH transactions associated with Vitalik Buterin commenced on August 30, when his linked wallet received 3,800 ETH, valued at around $9.8 million. Since receiving the funds, Buterin’s wallet has made several sales, unloading ETH in small and strategic portions rather than in one massive transaction.

The first sale took place after the deposit when 350 ETH were sold for around $839,600, at $2,398 per ETH. Then 410 more ETH were sold, bringing in $983,800 within the same price rate.

The most recent transaction comprised 190 ETH sales for $441,971 USDC and was finished 20 minutes before the announcement from LookOnChain on the X platform. With the latest transaction, 950 ETH was sold in total, at an average price of $2,396 per ETH.

As the community points out, the sales follow a strategic pattern that spans several days and averages a consistent price, including a planned approach to prevent sharp price falls, which could happen if larger quantities were sold in a single transaction. Decentralized platforms have been used for each transaction, adding a degree of transparency to the proceedings while simultaneously generating conjecture over Buterin’s motivation.

Cryptocurrency enthusiasts have been closely monitoring the wallet’s activities, taking note of the transaction’s exact time and decision to convert ETH to USDC. This move could suggest a preference for consistency or liquidity, which Buterin has claimed to be pursuing through sponsorship of ongoing projects, charitable donations, or other endeavors.

Crypto Community Responses to Vitalik’s Strategic ETH Sales

Buterin’s strategic approach to these ETH transactions is quite opposite to the typical behavior of whale accounts, which frequently cause market disruption with large-scale movements. He appears to be balancing liquidity requirements and market stability by spreading out the sales in several days while keeping the batches in small sizes. This approach helped him avoid the traps of inciting panic or sharp price swings.

The community has responded to Buterin’s recurrent ETH sales in a variety of ways, running from worries about possible bearish signals to theories that he might be expanding his holdings or funding other projects.

While some see these transactions as just another one of Buterin’s regular financial decisions, others assume that there were more profound strategic considerations at play here, particularly given that Ethereum appears to be gearing up for a bullish break.

ETH Navigates Resistance While Buterin Sells

Ethereum struggles to overcome the resistance near $2,380 despite the current bullish momentum. Source: BNC Ethereum Liquid Index

Ethereum began a solid downtrend and moved near the critical support at $2,110 following the rejection from the resistance at $2,815. Although the price overcame the $2,320 resistance but still needs to exceed the immediate resistance at $2,380 to establish a bullish momentum. Technically, ETH could exceed $2,465 and test the ultimate supply zone of $2,500 – $2,550 if the price successfully plots a bullish breakout of the $2,400 level.

The recent ETH sales are taking place during a period when the market is most vulnerable to moves made by significant players in the cryptocurrency space. Because of his pivotal role in Ethereum, Buterin’s trading activity frequently acts as a gauge of investors’ mood.