Ethereum Foundation Sells 1,210 ETH for $3.5 Million in Strategic Move

The Ethereum Foundation recently sold 1,210 ETH for approximately $3.5 million in USDC via Uniswap V4, with the transaction averaging $2,889.50 per ETH. This sale is part of a series of fund movements that have occurred over the past month, during which approximately 21,000 ETH were consolidated into a multisig wallet. From this wallet, 7,000 ETH was further distributed, including today’s sale from a secondary address. The transaction was tracked live via Lookonchain, providing real-time insight into the Foundation’s treasury operations.

This sale appears to be a strategic move rather than a panic reaction. It aligns with the Foundation’s long-standing practice of measured asset management, aimed at funding development, grants, and ecosystem initiatives. These controlled offloads are meant to support operational expenses transparently, rather than flooding the market or creating panic. Despite occasional calls for ETH to be staked or funneled into DeFi, the Foundation maintains a neutral stance that prioritizes long-term project health and flexibility.

Ethereum price recently touched $3,000 before pulling back, establishing key support near $2,750. Notably, while the Foundation is selling, other players are buying heavily. Over $358 million in ETH has been scooped up by whales and institutional wallets in the past 24 hours, signaling growing confidence from the smart money side of the market.

Even though the Ethereum network is being used more, with total value locked (TVL) rising from $50 billion to $73 billion in just three months, this hasn’t boosted demand for ETH itself. Moreover, the network fees have dropped 22% in the last month. Hence, Lower fees mean less ETH is burned, which weakens its appeal as a deflationary asset. This drop in fee revenue may be one reason the Foundation chose to sell today.

Overall, today’s ETH sale by the Ethereum Foundation looks more like routine treasury management than anything negative. With institutions still buying and Ethereum gaining more real-world use, the overall outlook remains strong, even as on-chain demand takes a breather.