Ethereum Selling Continues: ICO Investor Unloads Another $47 Million
Date: 2024-10-03 Author: Gabriel Deangelo Categories: CRYPTO PAYMENTS
Fear, Uncertainty, and Doubt (FUD) has returned to the market as Ethereum prices continue to fall following a massive token sale by a major ICO participant in 2014. On October 3, transaction analysis platform Lookonchain recorded more sales.
According to Lookonchain, 19,000 ETH have been sold over the past two days, worth about $47.5 million. The investor had previously started selling aggressively in late September, sending over 12,000 ETH to the Kraken exchange, which was valued at $31.6 million at the time.
The source of these funds was the initial coin offering (ICO) of Ethereum in mid-2014, when the investor purchased 150,000 ETH for just $46,500. Today, the value of these assets is estimated at almost $400 million.
Amid these events, the Ethereum rate has fallen by almost 10% since the beginning of October. On October 1, Ethereum was trading at $2,650, but by October 3, the price had dropped to $2,365, which is 3.7% lower than the previous day. The fall in Ethereum exceeded the overall decline in the cryptocurrency market, which amounted to 2.6%.
In addition, the ETH/BTC ratio also fell to 0.039, which corresponds to the levels of mid-September. This drop has caused a new round of criticism against Ethereum, which has shown weak results this year.
A well-known crypto trader under the nickname "Bluntz" on the X platform (formerly Twitter) noted that even "Ethereum veterans are starting to jump ship," commenting on the sales from an ICO participant. Solana supporter "Cozy The Caller" also added fuel to the fire, claiming that "Ethereum is just dragging the crypto market down."
However, Ethereum supporters continue to believe in its potential. On October 3, Ethereum education activist Anthony Sassano said that "the FUD will never end and most people in this space don't care about the truth."
Bankless co-founder Ryan Sean Adams also highlighted Ethereum's achievements: over the past 12 months, the network has generated over $140 million in net profit across nine different chains.
Former Sushi CTO Joseph DeLong added that Ethereum is preparing for more users with new network upgrades, including improved authentication and account abstraction.
Amid all this, institutional investors are starting to show interest in Ethereum again. On October 2, there was a significant influx of funds into ETFs amounting to almost $20 million, mainly driven by BlackRock. It was the largest inflow of funds in a week, even though Bitcoin funds posted a second day of outflows in the same period, losing $53 million.
