Tron’s Justin Sun Offloads 50% ETH Holdings, Ethereum Price Crash Imminent?

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As a seasoned crypto investor with over a decade of experience in this volatile market, I have learned to take news like Justin Sun’s Ethereum selling spree with a grain of salt. While it’s undeniably concerning to see such a large sell-off, particularly when coupled with the recent 17% price crash, it’s crucial to remember that the crypto market is notoriously unpredictable.

Tron founder Justin Sun has been heavily offloading his ETH holdings with Ethereum price crashing 17% following the rejection at $4,000. Over the past 7 days, Sun has offloaded another 50% of his holdings worth $143 million. Market analysts predict that ETH price could further take a dip below $3,000 once again before resuming upside momentum.

Tron’s Justin Sun on ETH Selling Spree

Since Ethereum started climbing again following Donald Trump’s election victory, Justin Sun has been aggressively selling large amounts of Ethereum. This trend persisted up until last week when Sun sold $143 million worth of ETH, which led to a 15% drop in Ethereum’s price amidst the recent crypto market downturn.

According to blockchain analysis company Spot On Chain, Justin Sun converted 39,999 ETH, worth approximately $143 million, from liquid staking platforms Lido Finance and EtherFi. This massive sum was then moved into HTX.

Starting from November 10, the value of Ethereum has been on a steady rise, and Sun has transferred a total of approximately 108,919 ETH, equivalent to around $400 million, into HTX. This transfer was made at an average price point of about $3,674. It’s worth mentioning that a significant number of these deposits took place close to local high points in the Ethereum price chart.

According to recent disclosures by Spot On Chain, Justin Sun holds approximately 42,904 Ether, valued at around $139 million, which he is in the process of unlocking from Lido Finance. It’s possible that these assets could be transferred to HTX in the future by the Tron founder.

Ethereum Price Drop Below $3,000 Coming?

Due to a significant drop in Ethereum’s value below its crucial support level of $3,500, the general outlook for the leading altcoin has become pessimistic. Last week, crypto market analysts predicted a bearish trend for Ethereum, anticipating that its price could decline to around $2,800 due to selling pressure from whales.

According to well-known financial expert, IncomeSharks, the weekend saw reduced trading activity for Ethereum, following a turbulent period in the stock market. They further advised against selling at this time.

The On-Balance Volume (OBV) indicator, which measures buying and selling pressure, remains stable, fluctuating within a range. Current Ethereum purchasers are currently in the green, offering some market stability. Nevertheless, the following chart suggests that Ethereum might experience a drop towards $3,000.

Cryptocurrency expert known as “Crypto Wolf” has expressed a positive viewpoint regarding Ethereum, suggesting an inverted head-and-shoulders (iHS) configuration could be emerging. This analyst believes that the Ethereum price graph is now developing the “upper part” or “right arm” of this iHS trend.

With this configuration, we might gain enough traction to push past the $4,000 barrier and strive for a goal of $10,000 by May. It’s expected that a breakthrough will occur by the end of January, but a revisit of the $3,000 mark could be likely before the surge truly begins, as he pointed out.

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2024-12-23 08:51