Ethereum Price Slides as World Liberty Financial Offloads 8.5K ETH

Lookonchain identified the wallet as 0x77a5. Following the massive Ethereum transaction, the wallet fully repaid its outstanding loans. It also withdrew all remaining assets from Aave.

In response to this significant Ethereum selloff by WLFI, the ETH price has seen a notable downturn. The Ethereum price dropped by about 2.5% in a day and 3.5% in a week, after the WLFI move. However, currently trading at $2,254, the altcoin is still up by about 9% in a month.

Even with this immediate decline, the 24-hour volume remains positive. While this positive value coincides with the price fall, it indicates sellers taking over the market. More traders are likely to sell their holdings amid the negative outlook.

This Ethereum news marks a major move for ETH. The sale represents one of the biggest ETH transactions made by any single entity in the last few weeks. Therefore, it may represent this companys effort to realign its portfolio in a different way.

Such a series of events seems to point towards a definite de-risking strategy on the part of this entity. First, selling ETH and exchanging it for a stable currency such as USDC reduces the risk of market volatility. Second, repaying the loan and leaving Aave means they are trying to unwind their leverage.

Whats Next for ETH Price？

Amid the current bearish sentiment, experts and analysts are providing mixed projections. But bearish predictions remain high. For instance, analyst AltCryptoGems took to X to share his bearish views on the Ethereum price.

Ethereum Price Fails to Break Key Levels | Source: X

The analyst noted that ETH price continues to show weakness against Bitcoin. The ETH/BTC pair is facing sustained selling pressure on the charts. Although Ether showed signs of a potential breakout last week, it was once again firmly rejected at a key descending trendline resistance.

Further, he noted that repeated failures to break above resistance highlight a lack of bullish momentum for Ethereum price in the near term. As long as ETH remains below this critical level, the broader outlook suggests continued underperformance against Bitcoin.

Meanwhile, another prominent analyst, known as Ted, disclosed on X the key level to watch for ETH. Recently, Ethereum broke past the critical $2,300 level. The analyst saw this as a key sign for the Ethereum prices upward move. He added that the altcoin could see a major breakout if it soars past $2,400.

Ethereum Price Analysis | Source: X

At the same time, he noted that if the ETH price fails to break and hold above this level, the rally could be short-lived. The current situation has become concerning, as Ethereum not only failed to break above the $2,400 level but also could not hold support at $2,300. This indicates that bearish momentum is strengthening in the market.