The Ethereum Foundation has just made a large-scale move, transferring 15,000 ETH to a Kraken deposit address as well as 200 ETH from Vitalik Buterin's personal address. This has had some speculating that this could be the precursor to a market downturn, considering the Foundation's previous sell-offs that have been followed by price correction. This is further compounded by the fact that Ethereum has long been connected to a peak in the price cycle, wherein Buterin noted back in 2019 that the Foundation had sold 70,000 ETH "basically at the top" of its price range.

However, it doesn't necessarily mean Ethereum is about to suffer a market dip. In fact, in the weeks since the Shapella upgrade last month, ETH staking has increased and there has been a surge in whale accumulation. In addition, the Foundation still has a funding runway to cover costs. To this end, it has allocated over $4 million towards research, development, and community programs in the first quarter of 2023, and has taken part in large funded rounds such as the $10 million Series A for the workplace encryption startup Skiff.

It is clear then that the Ethereum Foundation is a fundable agent in the investors' eyes, and isn't necessarily out to sell at the top every time they liquidate some of their assets. However, it cannot be denied that their past sales have often been predicted markets peaks and have resulted in price corrections. Therefore, any large-scale Ethereum liquidation must be closely monitored.



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