In a striking move, an early investor from the Ethereum initial coin offering (ICO) cashed out $60 million in Ether (ETH) on Wednesday. This sale marks a remarkable 9,500-fold return on investment over the span of 11 years. Initially, the investor acquired their ETH at approximately $0.31 per token, investing a total of $79,000 for 254,000 tokens, which have now ballooned to a value exceeding $757 million, as detailed by blockchain data platform Lookonchain.
Following this significant transaction, the ICO participant”s wallet, identified as 0x2Eb, now holds around $9.3 million in ETH, according to data from crypto intelligence platform Nansen. While some observers commend the investor”s long-term strategy, others express concern that this trend of early adopters cashing out could signal a potential decline in the broader cryptocurrency market. One user on social media remarked, “This trend of OGs selling their bags is concerning,” highlighting the apprehension among retail investors.
Despite these concerns, the whale”s selling activity appears to indicate a calculated profit-taking strategy rather than panic selling, as the wallet has gradually been offloading its assets since early September. This selling spree has not deterred the top 1% of Ether holders, who continue to accumulate the cryptocurrency even amidst market challenges. Recent data from Glassnode reveals that the supply of ETH held by the top 1% of addresses increased to 97.6%, up from 96.1% a year ago.
Moreover, amid this backdrop of profit-taking, the landscape for Ethereum exchange-traded funds (ETFs) is showing signs of recovery. After experiencing eight consecutive days of net outflows, US spot ETH ETFs saw a resurgence, recording $60 million in net positive inflows on Wednesday. This marks four consecutive days of inflows, according to Farside Investors.
Despite these positive inflows and the anticipation of the upcoming Ethereum Fusaka upgrade, market reactions remain subdued. Iliya Kalchev, an analyst at digital asset platform Nexo, noted that “the combination of steady inflows and rising derivatives activity suggests investors are rebuilding exposure selectively rather than rotating aggressively across the complex.” This careful approach reflects the cautious sentiment prevailing in the current market climate.
