A crypto whale has attracted attention following his massive Ethereum sales. He actually made a significant loss from his sell-off. This transaction happened when broader cryptocurrency markets are seeing a general slowdown.
Whale earns $1 million loss from ETH sales
According to Lookonchain today, three wallets possibly belonging to the same person made a loss of $1 million after selling 10,070 Ether tokens for 33 million DAI at $3,280.
As per Lookonchain, the whale withdrew 24,029 ETH worth $81.3 million from Binance through 10 new wallets three weeks ago when the price of each ETH was $3,383.41.
However, with Ether’s price today trading below that level, the whale’s sales have led him to realize a loss of $1 million. Looking at CoinMarketCap, today, Ethereum prices are reading down, trading at $3,175.73 at press time. Currently, the trader holds 13,959 ETH (worth $45.48 million).
It is not known why the whale decided to sell his massive Ether tokens at a loss. The move captivated the attention of the cryptocurrency community.
One of the possible reasons crypto traders sell tokens at a loss is the need to repay a debt. The whale’s enormous transaction was not a normal sale. It appears he was compelled by some forces to offload the tokens. However, his selling activity occurs at a time when several Ethereum’s whales are dumping their holdings.
Today, Justin Sun, the TRON founder, offloaded Ether tokens worth $320.4 million to the HTX cryptocurrency exchange, according to data reported by Spot on Chain.
These transactions indicate panic selling as they don’t align with a wider trend of profit-taking. Ether prices are currently down, an occurrence that does not present an opportunity for some investors to make returns.
Ethereum price updates
Today on Monday, January 13, the global crypto markets generally continue to trade in red. Major tokens like BTC and ETH prices are down more than 5% and 10% respectively in the last seven days.
BTC failed to reach the $100,000 mark on Tuesday, January 7 and saw a fall of 9.4% since then to trade around the $94,000 level for some two days. At press time on Monday, it is currently standing at $92,931.24, down 6.4% in the past week.
ETH is currently trading at $3,175.73, down 2.4% over yesterday. The token has been down 13.0% in the last seven days, meaning that it is underperforming the global digital asset market which is down 10.30% currently. Its price has been down 19.1% in the past 30 days.
Recently, Ether witnessed consistent decreases following its failure to surpass the $4,000 resistance level, signaling sellers continue to dominate the market. While its declines coincide with the ongoing market correction, the shift indicates a rising bearish sentiment among investors; with many traders expecting further drops in Ether prices.
