Recently, the Ethereum Foundation sold1700Ethereum (ETH) tokens. This has led to a slight decrease in Ethereum prices
Recently, the Ethereum Foundation sold1700Ethereum (ETH) tokens. This has led to a slight decrease in Ethereum prices. People in the encrypted world now want to know why they do this and what it means for the value of coins.
Decomposing transactions
The sale took place on Monday and was executed through Uniswap, with each Ethereum unit selling for $1611, totaling $2.74 million in Circle stable currency USD. Lookonchain quickly reported on the transaction through Twitter and disclosed more details, revealing that after the sale, Ethereum's transaction price was $1614.
0x9ee430 1,611 1700 ETH 274 https://t.co/VPgNRkhGcA
Pic. Twitter. com/PFUl1tFIaX- Lookonchain (@ lookonchain) October 9, 2023
Pattern or Coincidence?
This is not the first time that the Ethereum Foundation has engaged in large-scale ETH trading and caused significant market changes. Looking back, on May 6, 2023,15000ETHThe massive transfer marked the peak of local prices and subsequent decline. On November 11, 2021 and May 2021, similar major transactions occurred at the foundation, which led to a sharp drop in prices from over $3500 to approximately $1825.
The assets and distribution of the foundation
According to DeFiLlama data, the Ethereum Foundation currently holds approximately 316488 ETH, equivalent to a staggering $502.7 million. In addition, according to records from the first quarter of 2022, the foundation has approximately 395000ETH, accounting for 0.297% of the total supply. It is worth noting that in 2021, the foundation generously allocated $48 million for Ethereum's research and development and grants.
Insights and insights
- Strategic expenditure:These sales may be strategic financial decisions made by the Ethereum Foundation to fund ongoing projects or leverage market conditions.
- Market sensitivity:The large-scale transactions of important entities such as the Ethereum Foundation will inevitably attract market attention. This incident reaffirms the sensitivity of the cryptocurrency market to such measures.
- The influence of the foundation:Given that the Ethereum Foundation holds a large number of shares, its behavior has an inherent ability to influence market perceptions, leading to potential price fluctuations.
- Healthy reserves:Despite recent sales, the foundation still holds a large amount of Ethereum, indicating confidence in the future and stability of the platform.
As of Tuesday, Ethereum prices have slightly adjusted to $1577, a decrease of 2.97% from the previous trading day.
conclusion
Although large-scale sales by influential entities such as the Ethereum Foundation may bring short-term fluctuations, it is crucial to evaluate such initiatives in the context of broader market dynamics, the foundation's long-term vision, and the inherent value proposition of Ethereum. Investors must still understand the situation and consider multiple factors before making any investment decision.
The market is constantly changing. If you want to stay together for warmth or have any doubts, please feel free to leave a message.
Thank you for reading. Friends who like it can follow me
#Ethereum # # BTC # # Cryptocurrency#
Disclaimer: The content of this article is sourced from the internet. The copyright of the text, images, and other materials belongs to the original author. The platform reprints the materials for the purpose of conveying more information. The content of the article is for reference and learning only, and should not be used for commercial purposes. If it infringes on your legitimate rights and interests, please contact us promptly and we will handle it as soon as possible! We respect copyright and are committed to protecting it. Thank you for sharing.(Email:[email protected])
