Justin SunAssociated Wallet Acquires 38M in Ethereum During Market Decline
Headline: Wallet Linked to Justin Sun Purchases $37 Million Worth of ETH as Crypto Market Recovers
Summary: After a recent market crash, cryptocurrencies like Bitcoin and Ethereum are showing signs of recovery. Justin Sun, the founder of HTX and Tron, has made headlines as a wallet address linked to him bought a substantial amount of Ethereum worth $37 million. Sun has addressed rumors of his positions being liquidated, stating that he rarely engages in leveraged trading strategies. However, Ethereum’s price could face a significant decline if it fails to maintain its position above the $2,150 level.
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On August 5, 2024, local blockchain media platform X (previously known as Twitter) reported that a wallet address “0x5ac” linked to Justin Sun, the founder of HTX and Tron, purchased a significant amount of Ethereum. The wallet bought 16,236 ETH, totaling $37 million. This purchase comes as the cryptocurrency market begins to recover from a major crash.
During Asian trading hours, the wallet created and withdrew $38 million worth of USDT from Sun’s cryptocurrency exchange, HTX. However, the USDT was later used to buy the aforementioned amount of Ethereum at an average price of $2,279.
Responding to rumors about his positions being liquidated, Justin Sun clarified that they are false and stated that he rarely engages in leveraged trading strategies. According to Spot On Chain, since February 8, 2024, Sun’s address has accumulated 377,590 ETH, with an average buying price of $3,051.
The X post also highlighted that in the past two days, Sun’s address transferred a significant amount of 210 million USDT to HTX, which was potentially withdrawn today.
Currently, Ethereum is trading near the $2,455 level, experiencing a 13% price decline in the last 24 hours. However, its trading volume has increased by 305% during this period, indicating high participation from traders and investors amidst the price crash.
Justin Sun’s recent post on X has garnered significant attention. In his post, he addressed the rumors of his positions being liquidated, emphasizing their falsity. He also mentioned his infrequent involvement in leveraged trading strategies, believing that such trades do not significantly benefit the industry. Instead, he prefers activities that provide greater support to the industry.
Expert technical analysis suggests that despite the recent price crash, Ethereum remains bullish. Since June 2022, it has received continuous support from an upward trendline, which it found support from again during the recent decline. Historical price momentum indicates that when Ethereum takes support from this level, it experiences a significant upside rally, leading investors and traders to expect a similar rally this time.
However, if Ethereum fails to maintain itself above the trendline and closes a daily candle below the $2,150 level, there is a high chance that it could experience significant downside momentum in the coming days.
Tags: Crypto news, Ethereum