Ethereum Foundation ETH Sale Adds Pressure as BitMine Buys
A wallet linked to the Ethereum Foundation sold 2,785 ETH for about $6.42 million on October 26, according to Lookonchain. The report revived concerns about selling pressure; a similar suspected Foundation-linked sale two weeks earlier was followed by a 9% ETH price decline. An early Ethereum investor also sold 1,500 ETH, while Maelstrom CIO Arthur Hayes said he had sold 6,400 ETH and other tokens, citing uncertain macroeconomic and geopolitical conditions.
The sales have weighed on sentiment, with ETH’s Fear and Greed Index falling to 31, a reading in fear territory. Selling can add to the available supply and unsettle investors, though it does not guarantee further price declines.
Buying activity offers a counterpoint. BitMine added 10,452 ETH, bringing its reported holdings to 6,051,933 ETH, or about 4.95% of supply, close to its 5% target. Ethereum staking also increased by nearly 2 million ETH in the third quarter, taking the total to 43.8 million, despite the annualized yield slipping from 2.81% to 2.63%. For ETH traders, the near-term outlook may hinge on whether selling pressure outpaces demand and accumulation.
Bearish
The news is bearish for ETH in the short term because several large holders reportedly sold, including a Foundation-linked wallet and Arthur Hayes. Such transactions can raise concerns about near-term supply and encourage traders to reduce exposure, particularly when sentiment is already weak: ETH’s Fear and Greed Index stands at 31. The reported 9% decline after a similar suspected sale two weeks earlier may also make traders more sensitive to further distribution, although one past price move does not establish a reliable pattern.
The impact is not one-sided. BitMine’s purchase of 10,452 ETH and its holdings near 5% of supply provide evidence of continued institutional accumulation. Growth in Ethereum staking to 43.8 million ETH also points to ongoing network participation, even as yields have declined. These factors could help absorb some selling over time.
Overall, the sales may increase volatility and weigh on ETH in the near term if demand does not keep pace. Longer term, the effect will depend on whether accumulation, staking demand and broader market conditions offset token distribution. Traders may watch exchange flows, ETH price reaction to large transfers, market-wide risk sentiment and follow-through buying rather than treating the reported sales alone as a definitive trend signal.