Ethereum (ETH) faced heightened selling pressure recently, with its price dropping below $3,400. At the time of writing, ETH trades at **$3,436, down 4.23% over 24 hours, and holds a market capitalization of $420 billion**. On-chain data reveals that early Ethereum ICO participants are starting to offload their long-held holdings, contributing to the downward momentum.
Ethereum ICO Whale Transfers 5,500 ETH to Kraken
On-chain analytics platform SpotOnChain detected significant activity from an early Ethereum ICO participant just hours before ETH’s price decline. According to the report:
- The whale deposited 5,500 ETH (worth $19.3 million) to Kraken exchange.
- Over the past two days, the same entity moved a total of 10,000 ETH ($35.4 million) to Kraken.
- Originally, the whale received 150,000 ETH during Ethereum’s 2015 ICO at $0.31 per ETH**, totaling an initial investment of just **$46,600.
- Despite recent transfers, the whale retains 139,000 ETH ($476 million) across three wallets.
"Just before ETH plummeted 3 hours ago, an Ethereum ICO participant deposited 5,500 ETH ($19.3M) to Kraken. Notably, the whale received 150K ETH in 2015 at $0.31 and has moved 10K ETH ($35.4M) to Kraken in 48 hours."
— SpotOnChain (source)
Limited Downside for ETH Price?
Ethereum’s price has struggled to break the $4,000 resistance in recent weeks, correcting nearly 15% in June. However, bullish on-chain signals suggest potential resilience:
- Exchange Outflows: Over 4.1 million ETH withdrawn from exchanges in the last 10 days.
- Low CEX Supply: Only 12 million ETH (10% of total supply) remains on centralized exchanges—the lowest since 2016.
- ETF Catalyst: The imminent launch of spot Ethereum ETFs (expected by July 2) could drive capital inflows.
👉 Why Ethereum’s Exchange Reserves Matter for Price Recovery
FAQs
1. Why did Ethereum’s price drop suddenly?
The sell-off was triggered by an early ICO whale moving $20 million worth of ETH to Kraken, sparking fears of further liquidation.
2. How much ETH do whales still hold?
The whale in question retains 139,000 ETH ($476 million), indicating potential future market impact.
3. Will Ethereum recover soon?
Strong fundamentals—like declining exchange reserves and ETF anticipation—suggest upside potential post-correction.
👉 Key Indicators for Ethereum’s Next Bull Run
Disclaimer: This content reflects market conditions and the author’s analysis. Conduct independent research before investing. The author and publisher are not liable for financial losses.
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