Following a recent crypto market crash that took place on Friday, the price of Ethereum experienced a significant drop of about 10%. Although Ethereum has shown signs of a minor recovery since then, this price decline has shed light on the investments made by Tron founder Justin Sun.
According to a report from blockchain analytics platform Spot on Chain, Justin Sun allegedly purchased 361,000 ETH over the past five months, amounting to approximately $1.1 billion. This investment was made through three different wallet addresses, with varying quantities of ETH acquired at different price points.
The addresses associated with Sun’s ETH investments reportedly received deposits from Binance following stablecoin deposits made by Sun on the exchange, leading to suspicions that he is the owner of these wallets.
The decline in the price of Bitcoin by 10% over the past two days, as a result of various factors such as the repayment of creditors by Mt. Gox and significant sell-offs by the US and German governments, has had a ripple effect across the entire crypto market. Ethereum, in particular, experienced a similar percentage decrease, plummeting to $2810, marking its lowest price in five months and resulting in a $66 million loss for Justin Sun’s alleged ETH investments.
Interestingly, Justin Sun engaged in negotiations with the German government to sell their remaining BTC holdings valued at $2.3 billion in a private transaction order, in an attempt to mitigate the impact of their continuous sell-offs on both his personal investments and the overall crypto market.
At the time of writing, Ethereum has shown resilience by rising approximately 5% to trade at $2,975, with a notable increase in its daily trading volume. Despite the general downtrend in the cryptocurrency market, some assets like Solana, Avalanche (AVAX), Shiba Inu, and dogwifhat have managed to record gains, providing investors with a glimmer of relief amidst the market crash.
In conclusion, the recent price drop in Ethereum and Bitcoin, along with Justin Sun’s alleged losses and strategic moves to safeguard his investments, highlight the volatile nature of the cryptocurrency market and the importance of staying informed and proactive in managing digital asset portfolios. As the market continues to evolve, it is essential for investors to conduct thorough research, exercise caution, and seek guidance from reliable sources before making any investment decisions.