According to on-chain tracking platform Lookonchain, an early Ethereum holder sold approximately $188 million worth of ETH, wstETH, and WBTC before the market downturn, and then re-established positions at even lower prices. Ethereum rebounded to around $1660 after briefly falling towards $1500, but selling pressure and large short positions remain in the market.
Sold approximately $188 million before the decline.
Lookonchain reports that the trader sold 60,000 ETH, 9,442 wstETH, and 600 WBTC at the peak. Based on disclosed data, the total value of these assets is approximately $188.37 million.
The average selling price for ETH and wstETH was approximately $2,040, while the average selling price for WBTC was approximately $78,538. On-chain data confirmed the transaction time and size, but the wallet owners' identities and reasons for the sales were not disclosed.
Buy back the position after the pullback
After the price drop, the same group of linked wallets bought 611 WBTC, amounting to approximately $38.68 million, at an average price of approximately $63,280; at the same time, they also bought 60,088 ETH and 10,000 wstETH, totaling over $116 million.
Lookonchain estimates that the average purchase price of these Ethereum-related assets was approximately $1,606. Compared to the previous sale, this address not only replenished its original position but also added 11 WBTC, and the holdings of ETH and wstETH are also slightly higher than before the sale.
This means that after the price drop, the trader restored near or even slightly higher exposure than before with less capital. Lookonchain describes this operation as a complete "buy low, sell high" trade.
The rebound is still under pressure from short sellers.
Despite the rebound in ETH from its lows, the market has not formed a consensus of bullish sentiment. Lookonchain reports that the address pension-usdt.eth continues to increase its short position, adding 10,000 ETH, bringing its total short position to 60,000 ETH, estimated at approximately $101 million based on the prices mentioned in the article.
The tracking platform stated that this account had previously completed 22 profitable trades, accumulating profits exceeding $45 million. Meanwhile, analyst CW believes that there is still short-term selling pressure above Coinbase, and ETH needs to digest this selling pressure before it can continue to rise.
Exchange reserves continue to decline
According to Amr Taha, a contributor to CryptoQuant, the combined traceable ETH reserves of Binance, OKX, Gemini, and Bitfinex decreased by approximately 475,000 ETH in early June. Binance saw a decrease of approximately 190,000 ETH, Bitfinex a decrease of approximately 180,000 ETH, and OKX experienced the largest decline.
A decrease in exchange reserves typically means a reduction in the amount of ETH available for immediate sale, but this does not necessarily indicate that holders will lock up their holdings indefinitely. The assets may also be transferred to self-custodial addresses, staking services, or other trading platforms. Therefore, this change is more accurately viewed as a supply-side signal than a direct conclusion about price direction.
In the previous sell-off, ETH briefly fell below the $1800 and $1700 range, and even touched around $1500. The report noted that leveraged liquidations, weak ETF demand, and a general decline in risk appetite all contributed to the downward pressure.
Currently, the resistance for ETH is concentrated around the recent intraday high of $1706, as well as the area above $1800 that was previously breached; if the rebound slows down, market attention may return to the $1600 and $1500 range.
