Justin Sun of Tron Refutes Accusations of Triggering Ethereum Market Decline, Evidence Presented
Justin Sun, the Tron blockchain founder and owner of Poloniex and Huobi crypto exchanges, has addressed rumors concerning his alleged Ethereum liquidations that purportedly triggered a price drop. On-chain data validates his assertion, revealing that he has not divested the substantial Ethereum holdings amassed this year since February.
The value of the second-largest cryptocurrency by market capitalization witnessed a significant downturn, plummeting below the $2,300 threshold.
Sun dismissed claims of liquidating his Ethereum positions, emphasizing his team’s infrequent use of leveraged trading strategies due to their belief that such practices do not notably benefit the industry. Instead, they prioritize supporting the industry and entrepreneurs through activities like cryptocurrency staking, node operation, and assisting project teams in providing liquidity.
Analytical insights from X’s @spontonchain corroborated Sun’s statement by confirming that he has retained the 377,590 ETH purchased since February, with his Ethereum fortune previously valued at a staggering $1.15 billion before the market decline. Following Ethereum’s 20% plunge, Sun’s Ethereum holdings incurred over a quarter-million-dollar loss in value, as reported by @spotonchain.
In the wake of Bitcoin’s substantial decline, Ethereum experienced a more than 22% drop in the past 24 hours, sliding from around $2,920 to the $2,270 range. At present, ETH is trading at $2,282 per coin amid the ongoing market turmoil.
Data from the @lookonchain analytics account on X revealed significant liquidations by whales, with 25 addresses selling 63,732 ETH valued at $150 million. Notably, one whale was liquidated for 9,834 ETH, equivalent to $23.16 million.
A recent CoinShares report highlighted substantial withdrawals from both Bitcoin and Ethereum by institutional investors, amounting to $400 million and $146.3 million, respectively. This trend underscores the current volatility and uncertainty in the cryptocurrency market.
