Ethereum Whales Sell $17M in ETH Amid 45% Yearly Decline

An Ethereum OG, or original investor, recently sold nearly $17 million worth of ETH at approximately $1,600 per token. This address had been dormant since acquiring the ETH in 2016 when the cryptocurrency was trading at just $8. The decision to sell now, rather than during previous market highs, suggests a shift in the investor's strategy and market outlook. Notably, the whale refrained from selling when ETH was trading at nearly $4,000, indicating a preference for selling during major market corrections.

The reasons behind this capitulation are unclear, but the overwhelming bearishness surrounding Ethereum may have played a role. On Apr. 9, Ether dropped to a multi-year low of 0.01855 BTC on the Binance exchange before seeing a slight relief rally. The price of ETH/BTC is still down 45% this year after plunging by 34% and 25% in 2024 and 2023, respectively. This bearish sentiment is further underscored by the performance of ETFs that deliver inverse performance to Ether, which have surged significantly in 2025.

In recent days, Ethereum has experienced significant selling pressure from long-term holders, or "whales," who have been offloading their holdings en masse. This selling spree has been fueled by various factors, including market uncertainty and the delay in tariff implementation by the Trump administration. One notable transaction involved a veteran Ethereum investor who sold 10,702 ETH, valued at approximately $16.86 million, at a price of $1,576 per token. This investor had acquired the ETH as early as 2016 when the cryptocurrency was priced at just $8. The timing of this sale, after two years of dormancy, has sparked speculation about the investor's strategy and the potential implications for the market.

Interestingly, many of these whales refrained from selling when Ethereum's price was above $4,000 in December last year, indicating a shift in their market outlook. The selling pressure has not been limited to individual whales. World Liberty Financial, a project affiliated with Donald Trump, has also been selling ETH during this period of market turmoil. The project sold 5,471 ETH worth $8.01 million at a loss, highlighting the widespread capitulation among long-term holders. Another whale sold 10,000 ETH for a $2.75 million profit after holding the tokens for over 900 days, further illustrating the trend of long-term holders exiting their positions.

Despite the selling pressure, some analysts see this as a potential accumulation opportunity. Crypto analyst Ali Martinez suggests that the current capitulation by long-term holders presents a favorable accumulation opportunity for contrarian investors. Martinez notes that new buyers have favorable risk-reward dynamics associated with this market condition, making it an attractive time to accumulate ETH. The Ethereum price has shown signs of a bullish reversal, currently trading at $1,612 and forming a falling wedge pattern. This pattern is often regarded as a precursor to bullish reversals, and if the trendline is breached, it could signal substantial upside potential for Ethereum. Additionally, the US Securities and Exchange Commission's approval of options trading for spot Ether ETF could lead to greater institutional participation, providing a positive catalyst for the altcoin.