How the Plus Token ETH Selloff Isn’t as Bad as It Looks

Key Highlights

• Nearly 12 addresses have received ETH from Plus Token-related wallets in the past 30 hours, totaling $63.1 million.
• Ethereum whale deposits on exchanges have surged significantly over the past month.
• ETH price continues to hover around $2,450, despite facing resistance at $2,500.

The large transfer of Ethereum by Plus Token wallets sparked significant concern on Satoshi Street this Wednesday. However, further investigation reveals that the massive ETH transfer may not be as alarming for future liquidations as initially thought.

Plus Token Ethereum Sell-Off Isn’t a Major Concern

Recent reports indicated that Plus Token wallets linked to China have transferred substantial amounts of ETH after 3.3 years of inactivity. This triggered a market reaction, with fears of potential major liquidations of ETH.

According to an investigation by EmberCN, between June and September 2021, 789,534 ETH was moved to the Bidesk exchange from various wallets. However, with Bidesk’s bankruptcy by the end of the year, these funds were redirected to the Huobi exchange. Of the total, 268,843 ETH were routed to Bidesk via four specific deposit addresses.

The investigation also found that 12 addresses received Plus Token-related ETH in the last 30 hours, accumulating 25,757 ETH worth $63.1 million. Notably, some of these ETH were not transferred to Bidesk in 2021, while others were withdrawn from Bidesk but not transferred to Huobi.

Ongoing Ethereum Whale Activity

Despite clarifications on the Plus Token wallet transfers, Ethereum’s price has faced selling pressure recently. This is attributed to renewed dumping by Ethereum whales, as indicated by recent on-chain data.

One major whale recently transferred 5,000 ETH, valued at $11.6 million, to the crypto exchange OKX. Over the past month, this whale has deposited a total of 38,501 ETH worth $129 million.

According to SpotonChain, these large whale deposits are linked to a specific address, “0x60e,” which made significant acquisitions between 2016 and 2018.