Ethereum (ETH) could be headed for a decline following reports that Jump Trading, the crypto division of a major Chicago-based trading firm, has unstaked 11,500 ETH, worth $29 million. These funds have been moved to a known wallet, which might indicate upcoming deposits into centralized exchanges.
Key Changes in Investment Strategy
Spot On Chain reports that Jump Trading has unstaked 11,500 ETH from Lido Finance, marking a significant shift in their investment strategy. They have also recently converted 16,210 Wrapped Staked Ethereum (wstETH) into 19,049 Staked Ethereum (stETH), showing a move toward more liquid assets.
The 11,500 ETH was sent to wallet address “0xf58,” a known address for Jump Trading’s ETH deposits into centralized exchanges.
Significant Holdings Remain
Even with this large withdrawal, Jump Trading still holds substantial amounts of cryptocurrency. They currently own 21,394 wstETH, valued at $63.6 million, and 16,292 ETH, worth $41.3 million. They also have 19,049 stETH that is in the process of being unstaked from Lido.
Recent Trading Activity
Meanwhile, this isn’t the first time Jump Trading has been involved in a sale recently. Recently, on August 5, the firm conducted several transactions, including redeeming and unstaking significant amounts of Wrapped Staked Ethereum (WSTETH) and Staked Ethereum (STETH) via platforms like Lido Finance.
However, these actions resulted in a net deposit of 72,213 ETH, valued at approximately $231 million, into major centralized exchanges such as Binance and Coinbase.
Ethereum’s Price Outlook
Additionally, it’s worth noting that Jump Trading is not alone in its aggressive selling. Five major market makers have collectively sold 130,000 Ether, worth over $290 million, during this market correction.
Ethereum’s price might be approaching a bottom as Jump Trading sold its Ether reserves. Despite recent selling pressure, Ethereum is trading in green with its price hovering at $2480, with a market cap of $298 billion.
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