A cryptocurrency address suspected to belong to the ARB Foundation, a non-profit organization reaching out to those struggling with depression, recently transferred a significant amount of ETH to the Binance crypto exchange, striking fears of a potential ETH dump among the crypto community.
$ETH dumping?????
8 hours ago, a wallet (may belong to #ARB_Foundation) deposited 60k $ETH (~$150.33M) to #Binance.
Within 24 hours, he deposited totally 90k $ETH (~$226.02M) to #Binance.
Address:https://t.co/zjzY3AsIo7 pic.twitter.com/qVrMTwgWgk
— The Data Nerd (@OnchainDataNerd) September 1, 2024
The Data Nerd, an acclaimed onchain tracker on X, noted the wallet deposited 60,000 ETH, equivalent to $150.33 million, on Binance in the last hours of the ultimate day in August. According to the onchain tracker, the recent ETH deposit increased the total amount the address transferred to Binance to 90,000 ETH, worth approximately $226.02 million.
The onchain tracker, among other crypto community members, thinks the ARB Foundation is preparing to sell off its ETH holdings by transferring them to Binance, a centralized exchange (CEX). Typically, crypto users holding large tokens prefer to store their assets outside the CEXs and under self-custody, mainly for security reasons. They transfer such assets to the CEXs whenever they want to exchange them for fiat or other cryptocurrencies.
Meanwhile, the ARB Foundation’s ETH transfer and other potential bearish signals are pressurizing ETH’s price and causing it to drop. The flagship altcoin’s price looks set to drop lower after dipping 1.6% in the early hours of Sunday. The price is testing support at the 0.236 Fibonacci level on the daily chart, a break in which could see ETH drop towards the $2,116 support established during the August 5 crash.
ETH struggled to regain its bullish momentum throughout August, moving sideways for nearly the entire month. The altcoin traded for $2,475 at the time of writing, slightly below the $2,500 level that acted as a support for most of the month, according to data from TradingView.