A wallet believed to belong to World Liberty Financial, a DeFi project associated with Donald Trump, has reportedly sold Ethereum (ETH) 
$1,600 assets at significant losses. As of today, ETH has declined by approximately 10%, dropping to around $1,400. The millions of dollars lost by the institution in this sale have created a cautious atmosphere among investors, prompting even small investors to reassess their strategies in light of the actions of major players in the Ethereum market.
Institutional ETH Sale Leads to Losses
On-chain analyses indicate that the wallet linked to World Liberty Financial recently executed a transaction involving the sale of about 5,471 ETH at a price of $1,465, resulting in a total transaction amount of $8.01 million. This sale coincided with a sharp decline in Ethereum’s price over the past 24 hours. It seems that the institution, known for previously purchasing 67,498 ETH for $210 million, has incurred significant losses from this scale of sale, which impacts not only the existing losses but also the psychology of investors.
Since the beginning of 2025, Ethereum has lost approximately 56% of its value. This dramatic decline has prompted large investors and institutional actors to reassess their positions. Following such substantial sales in the market, many small and medium-sized investors remain vigilant against the risk of panic selling. Sales at a loss by institutional investors often lead to the erosion of trust in the market.
ETH’s Decline Continues, Critical Commentary Emerges
The sharp drop in Ethereum’s price has revealed that technical levels in the market have been breached. Leading crypto analyst Ali Martinez suggested that ETH could find crucial support in the $1,200 range. According to Martinez, this level might serve as a key threshold to prevent deeper losses. Such technical evaluations are essential for market participants in determining their direction.
Another market observer, known as Venturefounder, argued that ETH is nearing its bottom levels in the current cycle. The analyst noted that potential interest rate cuts and monetary expansion steps from the U.S. Federal Reserve could create a temporary recovery in the markets. Nevertheless, investors remain cautious due to global economic indicators and macroeconomic risks. This environment of uncertainty suggests that volatility may persist in major cryptocurrencies like ETH.
Long-Term Investors Also Selling Off
Another noteworthy development involves a prominent investor holding Ethereum for over 900 days, who sold a position of 10,000 ETH, generating $15.71 million in revenue. It was reported that this investor acquired the ETH for an average of $12.95 million, yielding a profit of approximately $2.75 million. This move indicates that even long-term investors are inclined to close positions, considering the current risks in the market.
Such sales provide significant clues about investors’ duration in the market and their strategies. Particularly, falling below technical levels applies pressure not only on short-term but also on medium and long-term investors. As ETH approaches support levels, a search for new direction in the market appears to be underway.
