Binance receives $1.35B ETH deposit as liquidation fears rise
Binance received about 577,896 ETH (≈$1.35B) from Garrett Jin, BitForex founder, across four days ending May 11, with the final batch at 225,627 ETH (≈$528M). This ETH deposit raises trader concerns about potential selloff after a major BTC-to-ETH swap.
Jin reportedly acquired the ETH about eight months ago by swapping BTC at roughly $4,591 per ETH. Analysts estimate the position is now tied to roughly $1.3B in unrealized losses. While the timing fuels a liquidation narrative, the later article notes there were no confirmed linked sell orders during the transfer window.
Traders plan to monitor Binance outflow/net exchange inflow and order-flow. If the ETH deposit leaves Binance and moves into staking or related contracts, it may support a non-bearish “repositioning” scenario. If ETH remains on-exchange and sell activity follows, downside pressure on ETH could intensify.
The move also comes as the Ethereum Foundation sold 100,000 ETH on April 26 near $2,337, adding to debates about large-holder influence.
Bearish
This news is likely bearish for ETH in the short term because a whale-scale ETH deposit to Binance can precede spot selling or liquidation-driven market impact. The later article adds nuance by saying there were no confirmed sell orders linked to the transfers during the window, which slightly tempers the selloff thesis. However, the key trading trigger remains whether ETH deposit funds move off-exchange and where they go.
Short-term: Watch Binance outflow/net exchange inflow and whether ETH starts leaving Binance via withdrawals or contract interactions. If sell-side order-flow appears, ETH could weaken quickly given the large unrealized-loss context.
Long-term: If the ETH deposit ultimately maps to staking/lending rather than liquidation, downside pressure could fade and the market may treat it as capital repositioning. Until on-chain/exchange order-flow confirms the intent, the probability-weighted impact stays skewed bearish for ETH.