Once again, the Ethereum Foundation is in the spotlight, particularly for its ongoing ETH sales activities that are drawing attention.
Recent reports confirm that over $300,000 worth of Ethereum was transferred by the Foundation amidst ETH facing challenges in gaining positive traction in the market.
Latest Actions by the Ethereum Foundation
According to SpotOnChain data, the Ethereum Foundation executed a transfer of 100 ETH, valued at more than $367,000 at the time, to a decentralized exchange. This transaction contributes to the Foundation’s total sales figure for the year, now standing at $12.2 million based on Lookonchain data.
In 2024, the Foundation has already sold 4,366 ETH.
Despite facing ongoing criticisms regarding these sales, the Ethereum Foundation remains steadfast in its operations. A closer look reveals that the Foundation still retains a substantial amount of ETH, forming the majority of its $1 billion wallet balance.
This includes holdings of over 272,000 ETH valued at nearly $999 million. Additionally, the remaining assets encompass diverse holdings such as wrapped ETH (wETH), USDC, DAI, and BNB, illustrating a varied yet ETH-centric portfolio.
ETH Price Holds Steady Amidst Sales
Despite the recent sales, Ethereum’s price has maintained stability, trading around $3,671.99, supported by its position above the 50-day moving average.
While this stability is notable, it has sparked inquiries into the motives behind the Ethereum Foundation’s sales and their potential impact on the market.
Technically, ETH is displaying neutral momentum, with the RSI indicating a value of 55.44, signifying a lack of immediate overbought or oversold conditions.
Furthermore, the Bollinger Bands point to moderate volatility, with the price trending close to the midline, suggesting a probable directional shift. The CHOP index at 59.27 hints at ongoing market volatility, indicating a phase of consolidation preceding a significant breakout.
Crucial price levels to monitor include resistance at $3,750 and support around $3,500, as breaching these levels could set the tone for ETH’s next major price action.
Exchange Data Reflects Varied Sentiment
An analysis of Ethereum exchange netflow data conveys a mixed narrative. Recent figures indicate an inflow of 26,000 ETH followed by an outflow of 16,300 ETH, showcasing a delicate balance between selling pressures and market demand.
The noticeable inflow potentially signifies forthcoming sales, likely including the Ethereum Foundation’s recent transactions.
Conversely, the subsequent outflow might suggest a rise in demand, possibly from traders or institutions withdrawing ETH, thus aiding in stabilizing prices in the vicinity of $3,600.