Arthur Hayes, co-founder and former CEO of cryptocurrency derivatives exchange BitMEX, sold 2,364.38 Ether for $4.3 million in USDC last Friday, according to data from blockchain analytics platform Lookonchain. The sale reportedly resulted in a realized loss of $241,000.
Hayes exits position amid market downturn
The transaction occurred as the cryptocurrency market experienced renewed selling pressure. Over the past 24 hours, the total crypto market capitalization dropped by around 2% to $2.25 trillion. Bitcoin fell 2.7% to approximately $63,000, while Ether declined 3.1% to about $1,860.
Hayes executed the sale at an average price of $1,821 per ETH, transferring the coins to major trading firms Cumberland and Galaxy Digital in exchange for USDC. Although the size of the transaction was relatively small compared to Ethereum‘s daily volumes, it drew significant attention due to Hayes’s reputation as a high-profile and long-term Ethereum supporter.
Lookonchain highlighted that Hayes’s sale turned previous paper losses into realized losses during a period of fragile investor sentiment.
Hayes transferred 2,364.38 ETH to trading desks and received $4.3 million USDC, selling at $1,821 per ETH and taking a loss of $241,000, according to Lookonchain.
Buying high, selling low: Recent history of trades
According to Lookonchain, Hayes accumulated 7,213 ETH between July 15 and July 28 at an average entry price of $1,923 per coin, investing roughly $13.87 million. As the market turned downward in early August, Hayes opted to reduce his exposure, exiting part of his position at a loss. This move stands in contrast to his previously bullish stance on Ethereum.
Hayes, once known for his optimistic outlook on Ethereum’s prospects, previously projected that ETH could reach $10,000 by the end of 2025. In late 2025, he expressed strong confidence in Ethereum’s upcoming rally, stating that a bull run was imminent.
After previously predicting a significant rally, Hayes recently wrote that the focus is now on preserving crypto capital under present market conditions.
In his recent public comments, Hayes acknowledged the need to prioritize risk management over aggressive positioning, suggesting that his decision to sell reflects a cautious response to volatile market conditions rather than a wholesale exit from Ethereum.
Market context and staking dynamics
Currently, over 41 million ETH—about a third of the circulating supply—is staked in the Ethereum network, with the validator activation queue lengthening to approximately 43 days, according to The Block.
Mini dictionary: Cumberland and Galaxy Digital are institutional trading firms specializing in digital asset liquidity provisioning and market making.
However, Sygnum Bank’s Head of Custody and Staking, Thomas Brunner, stated that the longer queue is largely due to existing validators claiming rewards instead of fresh capital entering the network.
Financial services firm TD Cowen recently revised its year-end price target for Ether, reducing it from about $3,650 to $2,371. The downward adjustment reflects delays in US regulatory developments related to tokenized assets.
| Entity | ETH Price Target (2026) | Status/Comment |
|---|---|---|
| Arthur Hayes | $10,000 (previously predicted) | Now selling ETH at losses |
| TD Cowen | $2,371 (revised) | Cut target due to regulatory delays |
Hayes’s recent transaction is viewed more as a reflection of broader investor caution than as a shift in Ethereum’s fundamentals. Analysts note that such moves from well-known macro traders are closely watched for signals on market outlook and risk appetite.
