Justin Sun Refutes ETH Sell-off Claims as Prices Head Toward $3,500

Highlights:

• Justin Sun refutes ETH sell-off claims and reiterates faith in the Ethereum ecosystem’s long-term potential.
• The clarification on X spewed renewed bullishness about Ethereum’s future price movement.
• Ethereum’s price recovered slightly as the token aims to reclaim $3,500.

Chinese-born crypto entrepreneur and Tron (TRX) founder has shared a tweet refuting claims that he has been liquidating Ethereum (ETH) tokens. The clarification appeared in a December 24 tweet, attracting over 110K views, thousands of likes, several comments, and retweets.

In the circulating X post, the Tron founder clarified that the transactions involving his wallets never entailed dumping ETH into exchanges. Instead, it involved moving the tokens between different wallets. “The rumors circulating online about us liquidating ETH are false. This is simply a transfer of ETH between our different wallets,” Sun stated.

Still, in the same tweet, the businessman reiterated massive confidence in Ethereum’s potential as a profitable store of value. According to him, he seemed more focused on the Ethereum ecosystem’s long-term price appreciation potential. The Tron founder’s clarification implies that he intends to hold on to Ethereum for as long as possible, even amid its unimpressive market actions.

The rumors circulating online about us liquidating ETH are false. This is simply a transfer of ETH between our different wallets. We remain long-term bullish on the Ethereum ecosystem.

— H.E. Justin Sun 🍌 (@justinsuntron) December 24, 2024

Crypto Community Reacts to Justin Sun’s Clarification

Considering the weight of Sun’s shared tweet, it is unsurprising that it caught market participants’ attention. Before now, Ethereum enthusiasts appeared worried about the tendencies of alleged token sell-offs causing more price woes for the embattled ETH coin.

However, with the clarification and reiterated faith in Ethereum’s long-term potential, sentiments would undoubtedly swing to the positive side. In Sun’s tweet comments section, several X users applauded the Tron founder’s transparency. Meanwhile, others encouraged him to keep accumulating ETH. Another category of X users envisaged the clarification as a bullish instigator for Ethereum.

Alleged ETH Sell-Offs Rumour Origin

Around the late quarter of this year, renowned on-chain trackers, especially Spotonchain, started reporting several Ethereum transfers involving Sun’s linked wallets. According to Spotonchain, most transactions involved unstaking ETH tokens and eventually depositing them on HTX (formerly Huobi exchange).

It is worth noting that the recent tweet reporting Sun’s ETH sell-offs surfaced yesterday. In the X post, Spotonchain revealed that within a week, the Tron founder redeemed 39,999 Ethereum from Lido Finance and Etherfi. Subsequently, he eventually dumped everything on HTX.

The on-chain tracker added that since November 10, when Ethereum’s price began to surge, the Sun-linked wallet had deposited 108,919 ETH valued at approximately $400 million to HTX. Per the tweet, the exchange deposits attracted about $3,674 in average selling price. Notedly, Spotonchain hinted at the possibilities of further massive token deposits following the unstaking process from Lido.

Over the past 7 days, Justin Sun (@justinsuntron) redeemed 39,999 $ETH ($143M) from Lido Finance and Etherfi and then deposited all to #HTX.

Since Nov 10, as the ETH price began rising, he has deposited 108,919 $ETH ($400M) to HTX at an average price of $3,674, often near local… https://t.co/nMGxZ5YLLa pic.twitter.com/5nu4jT0Doo

— Spot On Chain (@spotonchain) December 23, 2024

Ethereum’s Price Records Slight Jump with Positive ETF Impacts

At the time of press, Ethereum is changing hands at about $3,450, reflecting a 3.4% upswing. Within the past 24 hours, Ethereum minimum and maximum price levels fluctuated between $3,270.40 and $3,460.89, highlighting a significant increase in a short interval.

Following the slight recovery, Ethereum’s market capitalization has soared to about $415.56 billion. Meanwhile, its 24-hour trading volume is down by about 4.89% and boasts roughly $28.68 billion in valuation. It is worth noting that Ethereum’s recent resurgence coincided with Ethereum ETFs latest rebound after two straight days of recording losses.

Per our news coverage relaying the ETH ETFs flow data, the Ethereum commodities attracted $131 million in cash inflows. The positive flow spewed positive sentiments, portraying an imminent bull season for altcoins.