Celcius sold off $250 million in ETH and other assets in 30 days

According to on-chain data, bankrupt crypto lender Celsius sold off $250 million worth of digital assets, including ETH, in the past 30 days.

Cryptocurrency detective Apes_Prologue reported that of Celsius’s crypto sales at this stage, ETH accounted for $243 million, or 97%,.

Blockchain analytics firm Peckshield confirms the defunct lender transferred more than 10,000 units of ETH, worth approximately 24 million dollars, to the Coinbase exchange and the FalconX crypto brokerage platform in the past 24 hours.

Meanwhile, Apes_Prologue added that Celcius also dumped more than $3 million in stablecoins, $1.3 million in LINK, and $1.4 million in Pax Gold. Other assets the company sold included approximately $150,000 in MATIC and AVAX tokens, respectively.

Why is Celsius selling cryptocurrency?

Jef Breed, founder of venture capital firm Breed VC, explains Celcius can dump his ETH to capitalize MiningCo, the Bitcoin mining company, will be owned by the bankrupt company’s creditors.

Breed contends that Fahreint (NewCo), the top bidder in Celsius’s initial bankruptcy auction, encountered regulatory obstacles in implementing its Bitcoin mining plan and Ethereum staking service. As a result, the bankrupt company shifted its focus to the mining venture overseen by MiningCo.

As a result, Breed inferred the company had to liquidate a portion of its ETH holdings to secure $250 million in fiat capital, a different approach from the original plan that called for $450 million in crypto liquidity for the strategy. Fahreint’s proposal.

What’s next for ETH price?

Observers believe that Celcius’ selling activity may have prevented ETH’s price from skyrocketing recently.

Data shows that ETH’s price has struggled significantly compared to other large-cap cryptocurrencies, such as Solana, Cardano, and Avalanche, whose values ​​have rapidly increased in value over the past 30 days.

The price of SOL has increased by 17.75% over the past 7 days, while ETH has only increased by 1.78% during the same period.

However, market analysts say that “selling pressure could increase and ETH could surge in the coming months with the ETH ETF spot story looming.” ETH is trading for $2,246 at the time of writing.

 

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