Today the cryptocurrency market experienced strong selling pressure after Mt. Gox transferred 47,000 Bitcoin (BTC) worth $2.7 billion. Following these transfers, top assets including BTC and Ethereum (ETH) experienced a significant price drop of over 8% and 10% in the last 24 hours. Amid this notable downturn, an on-chain analytic firm spotonchain made a post on X stating, that Tron founder Justin Sun may have lost $66 million as the ETH price dropped 10%.
Justin Sun may have lost $66 million in ETH
According to data, from February to June 2024, Sun allegedly bought a huge 361,000 ETH worth nearly $1.1 billion through three different wallets. In February 2024, he purchased 169,604 ETH at an average price of $2,870 via wallet address “0x7a9”. In April 2024, he acquired another 176,117 ETH at an average price of $3,177 via wallet address “0x435”. Recently, he made a significant purchase of 15,416 ETH at an average price of $3,474 through wallet address “0xdbf”.
Besides all these massive ETH purchases between February to June. Sun’s wallets often receive ETH from the world’s biggest cryptocurrency exchange right after this stablecoin deposit.
Spotonchain also added, that before this dump occurred in the market, this massive holding was experiencing $58 million of profit with all those ETH holdings. However, after this recent volatility in the market and a 10% price drop in the last 24 hours, those profits have turned into a loss of over $66 million.
Ethereum technical analysis and key levels
According to expert technical analysis, ETH is looking bearish and currently trying to give a breakdown of an important support level of $2,850. Besides this, it is also moving below 200 EMA (Exponential Moving Average). If ETH on a daily time frame gives a candle closing below $2,850 then we may experience a massive price drop till $2,530 level.
As of writing, ETH is trading near $2,870, and in the last 24 hours, it experienced a 10% price drop. Whereas, in the same period trading volume rose by 50%, signaling strong investors and traders participation in this bear market. If we look at the performance of ETH over a longer period, in the last 7 days it lost more than 17% of its value. Whereas, in the last 30 days it lost more than 25% of its value.
Amid this bearish market sentiment, traders and investors are in fear as the 24-hour Ethereum open interest (OI) has dropped by 12%, according to data from an on-chain analytic firm CoinGlass.
