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Breaking News: Coinbase Confirms DOJ Investigation Following Major Security Incident

Spot Ethereum ETFs FOMO: Tron Founder Justin Sun Drops $5 Million On ETH

Scott Matherson
Scott Matherson
11 months ago
3 mins read
Ethereum

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Justin Sun, the founder of Tron, a decentralized blockchain-based operating system, has found himself joining the Spot Ethereum ETFs FOMO with a new $5 million investment in Ethereum (ETH), the world’s second-largest cryptocurrency. 

Tron Founder Buys $5 Million Worth Of ETH

In an X (formerly Twitter) post on July 11, Spot On Chain, an AI-driven on-chain analytics platform, uncovered a new Ethereum transaction allegedly executed by Sun. According to the analytics platform, the Tron founder had supposedly spent $5 million to buy 1,614 ETH tokens at an approximate price of $3,097 per ETH. 

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Spot On Chain revealed that since February 8, 2024, Sun has purportedly purchased a total of 362,751 ETH tokens at an estimated cost of more than $1.11 billion, with an average price of $3,047 per ETH. This massive ETH transaction was executed via three crypto wallet addresses. 

Additionally, the analytics platform noted that the Tron founder recently deposited 45 million USDT to Binance, a major crypto exchange, suggesting the possibility of new intentions to buy more Ethereum soon. The crypto founder has often received ETH coins from Binance right after depositing his stablecoin into the exchange. 

Interestingly, Sun’s newest ETH purchase comes as the FOMO surrounding Spot Ethereum ETFs is growing stronger in the crypto market. Previously in June, Gary Gensler, the Chair of the United States Securities and Exchange Commission (SEC) announced that Spot Ethereum ETF trading will officially launch in the summer. As a result, the broader crypto market has been looking forward to the debut of a digital asset that could potentially trigger a major rally for ETH.

Before his $5 million ETH purchase, Sun had supposedly recorded a major loss after Ethereum declined by 10% on July 7. Spot On Chain disclosed that the Tron founder may have lost $66 million in the volatile market, erasing the initial $58 million profit he had gained just a day earlier.   

Ethereum Whales Enter Accumulation Phase

Despite the recent declines experienced by Ethereum, the FOMO and excitement surrounding Spot Ethereum ETFs may have triggered a change in market sentiment and investors’ demand for the cryptocurrency. According to prominent crypto analyst, Ali Martinez, Ethereum whales are back to accumulating ETH. 

Ethereum
Source: X

The analyst disclosed that the cryptocurrency had witnessed a brief distribution period, potentially triggered by Ethereum’s low market performance and subsequent drop to $3,055 as of writing. In addition to ETH, Bitcoin (BTC) has also declined significantly, plummeting by more than 14% over the past month. 

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While whales show renewed interest in Ethereum, crypto analysts predict further price declines in the cryptocurrency following the launch of Spot Ethereum ETFs. However, as demand for Ethereum ETFs rises and market conditions stabilize, ETH could see its price potentially rising as high as $8,000 this market cycle. 

Ethereum price chart from Tradingview.com
ETH price recovering from dips | Source: ETHUSDT on Tradingview.com
Featured image created with Dall.E, chart from Tradingview.com
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Scott Matherson
Scott Matherson

Scott Matherson

Scott Matherson is a prominent crypto writer at NewsBTC with a knack for capturing the pulse of the market, covering pivotal shifts, technological advancements, and regulatory changes with precision. Having witnessed the evolving landscape of the crypto world firsthand, Scott is able to dissect complex crypto topics and present them in an accessible and engaging manner. Scott's dedication to clarity and accuracy has made him an indispensable asset, helping to demystify the complex world of cryptocurrency for countless readers.

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Scott’s experience spans a number of industries outside of crypto including banking and investment. He has brought his vast experience from these industries into crypto, which allows him to understand even the most complex topics and break them down in a way that is easy for readers from all works of life to understand. Scott’s pieces have helped to break down cryptocurrency processes and how they work, as well as the underlying groundbreaking technology that makes them so important to everyday life.

With years of experience in the crypto market, Scott began to focus on his true passion: writing. During this time, Scott has been able to author countless influential pieces that have drawn in millions of readers and have shaped public opinion across various important topics. His repertoire spans hundreds of articles on various sectors in the crypto industry, including decentralized finance (DeFi), decentralized exchanges (DEXes), Staking, Liquid Staking, emerging technologies, and non-fungible tokens (NFTs), among others.

Scott’s influence is not just limited to the countless discussions that his publications have sparked but also as a consultant for major projects in the space. He has consulted on issues ranging from crypto regulations to new technology deployment. Scott’s expertise also spans community building and contributes to a number of causes to further the development of the crypto industry.

Scott is an advocate for sustainable practices within the crypto industry and has championed discussions around green blockchain solutions. His ability to keep in line with market trends has made his work a favorite among crypto investors.
In his personal life, Scott is an avid traveler and his exposure to the world and various way of life has helped him to understand how important technologies like the blockchain and cryptocurrencies are. This has been key in his understanding of its global impact, as well as his ability to connect socio-economic developments to technological trends around the globe like no one else.

Scott is known for his work in community education to help people understand crypto technology and how its existence impacts their lives. He is a well-respected figure in his community, known for his work in helping to enlighten and inspire the next generation as they channel their energies into pressing issues. His work is a testament to his dedication and commitment to education and innovation, as well as the promotion of ethical practices in the rapidly developing world of cryptocurrencies.

Scott stands steady in the frontlines of the crypto revolution and is committed to helping to shape a future that promotes the development of technology in an ethical manner that translates to the benefit of all in the society.

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Reason to trust

Strict editorial policy that focuses on accuracy, relevance, and impartiality
Created by industry experts and meticulously reviewed
The highest standards in reporting and publishing
How Our News is Made

Strict editorial policy that focuses on accuracy, relevance, and impartiality

Ad discliamer

Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio.

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