Justin Sun Plans to Acquire 53,000 Ethereum Worth $209 Million
Tron founder Justin Sun plans to acquire approximately 53,000 Ether, valued at around $209 million. This significant transaction is anticipated to impact Ethereum's price, with the market already reacting accordingly.
Ethereum recently approached the $4,000 mark after Sun sold 29,920 ETH for roughly $119.7 million to the HTX exchange. Although this sell-off initially caused some market concern, Ethereum has since regained momentum. Sun's decision to purchase more ETH is expected to further influence its value positively.
Sun’s Ethereum Strategy Unveiled
Blockchain analytics platform Spot On Chain reports that Sun withdrew 52,905 ETH from the decentralized finance (DeFi) platform Lido as part of his strategy to accumulate significant amounts of Ethereum. Between February and August 2024, he spent an estimated $1.19 billion to gather 392,474 ETH using three separate wallets.
Sun's accumulation appears focused on profit-making, currently yielding a return on investment (ROI) of 29%, translating to a profit of about $349 million.
What Could Happen Next?
As of publication, Ethereum experienced a 2.36% increase in the last 24 hours, with prices near $3,951. The cryptocurrency has gained 27% over the past month, enhancing trader and investor optimism.
CoinGlass data indicates a 5% rise in Ethereum Futures Open Interest, reflecting strong investor confidence and contributing to positive market sentiment. Analyst Ali Martinez noted increased activity among ETH whales, who have been purchasing aggressively since prices surpassed $3,300.
Despite these positive indicators, some market observers express skepticism regarding Justin Sun's moves, suggesting that his accumulation and subsequent sell-offs could lead to price volatility. However, many believe that rising demand from institutional and retail investors will help stabilize the market.