An Ethereum Foundation wallet recently made a significant transfer of 92,500 ETH, valued at $294.9 million, after being inactive for over 6 years. The tokens had been held in the same address since 2017. This transfer, which took place on July 25, came shortly after a smaller transaction of 1 ETH from the same wallet.
The Ethereum Foundation has not provided any official statement regarding the reasons behind this transfer. Historically, the Foundation has strategically sold large amounts of ETH during bull markets, often aligning these sales with market peaks. The absence of significant sales in the current market cycle has led to speculation about a potential shift in strategy.
On July 25, the price of ETH experienced a 10% drop as spot Ethereum ETFs saw $133 million in outflows. The asset fell from nearly $3,500 to a low of $3,130. As of the latest update, ETH is trading at $3,266, reflecting a 3% increase in the past 24 hours.
Earlier in July, other wallets associated with the Ethereum Foundation were involved in transfers. According to on-chain analytics firm SpotOnChain, an Ethereum Foundation wallet and another linked to an Ethereum initial coin offering (ICO) participant moved $12.5 million and $9 million worth of ETH to Kraken.
Since early June, these wallets have deposited a total of 17,886 ETH, valued at approximately $65 million, to the centralized cryptocurrency trading platform, hinting at a possible sell-off strategy. In previous instances, the Ethereum Foundation has been known to convert ETH holdings into stablecoins, as seen in transactions involving the exchange of 100 ETH for 354,000 DAI when ETH was trading above $3,600.
Overall, the recent activity involving the Ethereum Foundation’s wallets has sparked interest and speculation within the crypto community. The motives behind these transfers and potential implications for the market remain uncertain, as observers continue to monitor the situation closely for any further developments.