ETH wallet linked to Lubin moves $123M via MakerDAO collateral
An Ethereum (ETH) wallet believed linked to Joseph Lubin moved about 80,000 ETH (≈$121.6M–$123.5M) after more than three years idle. Reports say the funds were routed through two addresses and used as MakerDAO collateral, not confirmed as sent to centralized exchanges.
In MakerDAO, the deposited ETH supported borrowing of roughly $209.26M in DAI. This collateral/loan adjustment looks more like DeFi risk management than an outright ETH selloff.
Traders are still focused on price action: ETH is around $1,560 after a sharp selloff broke below prior levels ($1,873 and $1,693). Risk appetite also weakened as US spot ETH ETFs saw net outflows of about $5.97M on June 5, alongside larger spot Bitcoin ETF outflows (~$326M).
Key levels now center on an ETH demand zone at $1,540–$1,590. If buyers defend it, a rebound toward $1,693 is possible. A daily close below $1,540 would raise downside pressure, with next supports at $1,407–$1,439. Overall, the ETH wallet activity may affect positioning, but ETF outflows and bearish technicals dominate the near-term setup.
Bearish
Although the 80,000 ETH transfer linked to Joseph Lubin may look alarming, the latest details suggest it was used as MakerDAO collateral and supported DAI borrowing, with no confirmation of exchange inflows. That interpretation leans toward DeFi collateral management rather than an immediate spot selling catalyst.
However, the price impact trade setup remains bearish. ETH is already breaking lower under key levels ($1,873 and $1,693) and is sitting near the next demand zone ($1,540–$1,590). In parallel, US spot ETH ETFs recorded net outflows, and spot BTC ETFs saw much larger outflows—both typically pressure overall crypto sentiment.
So, for ETH specifically, the dominant near-term drivers are bearish technicals and ETF-driven risk-off flows. The wallet event may affect positioning, but it is unlikely to outweigh the current downside structure unless ETH reclaims and holds above the broken supports.