Ethereum (ETH), the second largest cryptocurrency through market value, has experienced renewed pressure down in the middle of a widespread market crash. After reaching a highlight in mid-December of $ 4107-Fortgår during its November 2021 all the time at $ 4,868, under $ 1,800, marking a decrease of 53% from its peak in December. But while traders are rushing to assess the depth of this current decline, a new development on the chain has temporarily stolen the limelight.
Is it really Ethereum Foundation?
A transaction flagged by On-Chain Analytics Service Lookonchain elevated Alarms this week, suggesting an alleged liquidation risk for Ethereum Foundation (EF). Lookonchain reported via X: “A wallet suspected of being Ethereum Foundation deposited 30,098 ETH ($ 56.08 million) to the manufacturer to lower the liquidation price 5 hours ago. Currently, this wallet has 100 394 ETH ($ 182 million) on the manufacturer, and the liquidation price is $ 1,127.06. “
The size of the transaction – reported worth $ 56.08 million in ETH deposits – widespread speculation on EF’s potential exposure. Lookonchain’s data suggested that 30 098 ETH (approximately $ 182 million) was used to support a Makerdao Vault with a liquidation threshold that floats around $ 1,127, an important level such as Gash’s latest price accident.
The Chinese crypto news outlet Wu Blockchain was among the first to circulate the story. But shortly thereafter, Wu Blockchain offered a clarification based on analysis from Arkham Intelligence.
The updated analysis indicates that the wallet’s connections to the Ethereum Foundation may have been overestimated. The address, it seems, belongs to an early eth -investor who once interacted with EF’s official wallets but has since managed funds independently. The deposit of 30,098 ETH was probably a strategic move to fight the collateral and lower Makerdao Vault’s liquidation price during a decline in the market.
Wu Blockchain listed via X: “Correction: Although 0x22 … 1246 was flagged by Arkam as a suspected Ethereum Foundation address, the data on the chain confirms otherwise. While this address received a 4m DAI transfer from the Ethereum Foundation ETH sales in May 2022, its transaction behavior and initial ETH financing traces back to Jonny.eth (0xB76), which indicates that it is more likely an early ETH infestator rather than the foundation itself. This address deposited 30 098 ETH to Makerdao Vault today, with an outstanding debt position of 78 035 224,7182 Dai. “
While the liquidation price remains $ 1,127 – a level that some observers believe can be tested if market pressure remains – there are currently no official evidence that links the vault to the Ethereum Foundation. Consequently, rumors of an EF -Liking seem to be unfounded, given the clarifications that Wu Blockchain has made based on Arkham data.
At press time, ETH was about $ 1,925.
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