Buterin & ETH Foundation sell ETH ! but why?Is ETH price about to Fall ?
Ethereum Foundation's large scale selling in recent years record and recently the Ethereum Foundation sold 15,000 ETH . In 2021, EF did sell 20,000 ETH at a high point
Vitalik .eth wallet was the first to move 200 Ethereum (worth about 400k) to the US based Kraken exchange. following Buterin's transaction, the Ethereum Foundation did the same but on a much bigger scale, they shifted 15,000 ETH to Kraken as well. together with Buterin's crypto, that makes 40 million USD in fiat
It seems that Buterin just sells Ethereum from time to time in more or less the same amounts , in the middle of February, he sold 210 ETH for roughly 325k in the USDC
that chunk of ETH was also sold on Kraken too. Back then, Ethereum was trading at 1,545 dollar. On March 13, he moved another 200 ETH to Kraken, selling it at the price of 1,656 per coin
On Friday that ETH had reached an eight month high in flows to crypto exchanges, the analytics team believes that this may be a sign of an upcoming volatility increase similar to what it was like after the collapse of FTX in early November and the Merge in mid September. In a tweet that followed, Santiment added that while "sky-high active deposits" of ETH to exchanges are the highest since November last year, ETH is now showing signs of decoupling from BTC and may be about to break above the $2,000 level.
A record amount of ETH was burned at the end of this week, that was down to the meme coin season unwrapping at the moment, as you knoq the majority of meme coins like PEPE or Floki run on Ethereum and so are being actively moved with high ETH fees, providing a great opportunity to burn ETH and decrease the circulating supply.
The Ethereum Foundation holds around 0.298% of the total ETH supply which in today’s market cap, that would put the value of the foundation’s ETH holdings at nearly 700 million dollar
In total, the foundation said that ETH accounts for 80.5% of its crypto and non crypto holdings, many have quickly pointed out that previous large-scale ETH selloffs by the foundation have preempted market downturns.
In November 2021, the foundation sold a cache of 20,000 ETH worth around $9.6 billion,this was swiftly followed by a major price correction as the market accommodated the increased circulation.
it also coincided with the beginning of the 2021 ETH bear market.n fact, such selloffs by the foundation have long been connected to peaks in the ETH price cycle. and for followers of the market, both the foundation and Buterin are closely watched for the timing of their sales, which have often been on the money.
Consider that in 2019, Buterin said in an interview that he had convinced the foundation to sell 70,000 ETH “basically at the top” of its price range at the time.
He added that the decision had paid off and had allowed the foundation to double its funding runway. Certainly, the organization has been busy recently and has developers to pay. For example, in the first quarter of 2023, it allocated $4,370,418 across its various research, development, and community programs.the foundation is also an active investor in the wider crypto ecosystem. In this role, it needs to be prepared to make high-value purchases.
Last year, the foundation took part in a $10.5 million Series A funding round for the workplace encryption startup Skiff. Skiff enables secure account creation and document sharing using an Ethereum wallet through the Ethereum Support Program, the foundation also offers grants to projects helping to build the Ethereum ecosystem.
what do you think about Eth foundation strategy?
