Trend Research has officially concluded one of the most significant Ethereum liquidation events in recent on-chain history. Recent data from on-chain tracker @ai_9684xtpa indicates that the firm has transferred its final 0.148 ETH to Binance, marking a complete exit from its Ethereum holdings. This transaction caps an intense eight-day sell-off that has notably influenced market sentiment.
In total, 651,757 ETH has been moved to Binance, with the average exit price around $2,055, amounting to a total value of approximately $1.34 billion. With this last transfer, the firm has completely liquidated its position, leaving no residual holdings. The final fraction of ETH, while seemingly trivial, symbolizes the end of a large-scale exit that many market observers had been closely monitoring.
The speed of this liquidation is what renders this event historic. Over the course of just eight days, Trend Research offloaded about 658,168.58 ETH, translating to roughly $1.354 billion, significantly impacting centralized exchange liquidity. However, this rapid exit came at a cost; the firm”s average acquisition price was approximately $3,104.36 per ETH, while the average exit price was about $2,058.05. This discrepancy reflects an estimated loss nearing $688 million during this liquidation cycle alone.
Initially, this position was quite profitable. Prior to this sell-off, Trend Research had accrued approximately $315 million in profits from earlier trades in Ethereum. However, following the liquidation, the firm now faces a total estimated net loss of around $373 million, with some estimates suggesting total losses could reach up to $745 million, depending on execution timing and market conditions.
Trend Research had built its Ethereum position primarily through the accumulation of 651,310 ETH directly on Binance, alongside generating an additional 447 ETH via decentralized lending on Aave. This approach not only amplified their exposure but also increased their sensitivity to market fluctuations. As Ethereum”s price began to deteriorate, the firm faced mounting pressure, leading to a decisive exit that was meticulously executed.
One of the unexpected facets of this liquidation was the resilience of Ethereum”s price during the sell-off. Despite substantial volumes being introduced to the market, Ethereum”s price stabilized shortly after the liquidation commenced on February 6. As of now, Ethereum remains above the $2,000 mark, suggesting that the market absorbed the selling pressure more effectively than many had anticipated.
As the final transfer of 0.148 ETH settles, Trend Research has fully exited its position, leaving no hedges or residual coins. The implications of this event are now in the hands of the market. For some participants, this moment signifies relief, as it removes a considerable overhang from Ethereum markets. Others, however, view it as a cautionary tale, illustrating how rapidly large positions can unwind and the unforgiving nature of market timing.
Ultimately, this liquidation episode has added another chapter to the ongoing narrative of the cryptocurrency market, with the future trajectory of Ethereum dependent on broader market dynamics.
