Justin Sun Potential $66 Million Loss Revealed As Ethereum Price Declines
Following a widespread crypto market crash on Friday, the price of Ethereum took a severe price hit falling by about 10%. While the prominent altcoin has made a minor recovery since then, its price slip has revealed some vital information on the holdings of Tron founder and key crypto figure Justin Sun.
Justin Sun $66 Million Loss, Motive For Massive Bitcoin Buy Offer?
Amidst the market mayhem on Friday, blockchain analytics platform Spot on Chain shared an intriguing report on Justin Suns investments in Ethereum. In an X post, Spot on Chain stated that Sun has allegedly acquired 361,000 ETH (worth $1.1 billion) over the last five months.
The Tron founder reportedly made this investment using three different wallet addresses purchasing 169,604 ETH with 0x7a9 in February at an average price of $2,870, 176,118 ETH with 0x435 in April at $3,177, and 15,416 ETH with 0xdbf in June at $3,474.
Justin Sun may have lost $66M after the #Ethereum price plummeted 10% today!
From Feb to Jun, he allegedly bought 361K $ETH (est. cost: $1.1B) via 3 wallets, including: 169,604 $ETH via 0x7a9 in Feb at $2,870 avg 176,117 $ETH via 0x435 in Apr at $3,177 avg 15,416 $ETH pic.twitter.com/bwIezvMRtj
Spot On Chain (@spotonchain) July 5, 2024
Spot on Chain noted that the aforementioned addresses always received ETH deposits from Binance following Suns stablecoin deposits on the exchange thus leading to suspicions that the Tron founder served as owner of these wallets.
Following the repayment of creditors by defunct exchange Mt. Gox, coupled with a consistent massive Bitcoin sell-off by the US and German governments, the price of Bitcoin has plummeted by 10% over the last two days falling as low as $53,717.
Unsurprisingly, this decline soon extended across the crypto market, with Ethereum crashing by a similar percentage to trade at $2810, marking its lowest price in the last five months. At that point, Justin Suns alleged ETH investments reached a $66 million loss.
Interestingly, the Tron founder had reached out to the German government on Thursday to negotiate the sale of their remaining BTC holdings valued at $2.3 billion in a private transaction order. However, it remains unknown if the German government will take up this offer as Sun attempts to reduce the impact of their constant BTC sell-offs on his personal investments and the general crypto market.
At the time of writing, Ethereum has shown resilience since its earlier slump rising by about 5% to currently trade at $2,975. In tandem, the tokens daily trading volume is up by 47.33% and valued at $30.47 billion.
Solana, Others Record Market Gains Amidst Market Crash
While the general cryptocurrency remains in a downtrend, with the total market cap down by 1.02%, several assets have managed to stay afloat providing investors with some form of relief. According to data from CoinMarketCap, Solana is one of these assets, with a 4.99% daily gain alongside other prominent tokens such as Avalanche (AVAX) and Shiba Inu with respective gains of 3.99% and 3.70% respectively.
Notably, prominent meme coin dogwifhat leads the resistance with the highest daily gain of 12.28%.
Text source: NewsBTC
