The crypto market has been in turmoil, and Ethereum (ETH) is no exception. Amid this downturn, a rumor circulated that Justin Sun, founder of layer-1 (L1) blockchain TRON and advisor to Huobi, has been liquidated on his significant Ethereum positions.
However, Sun has addressed the fear, uncertainty, and doubt (FUD) and reaffirmed his commitment to the crypto industry.
Spot On Chain Confirms Justin Sun’s Resilient Ethereum Holdings
BeInCrypto recently reported that ETH faced a sharp decline today. It momentarily dipped to $2,171 before stabilizing at $2,225, marking a 23% decrease in just 24 hours.
Coinglass data revealed that Ethereum liquidations reached $357.73 million during this period. Long positions accounted for $305.26 million, and short ones for $50.22 million.
Read more: Ethereum (ETH) Price Prediction 2024/2025/2030
On-chain data also highlighted that institutional holders, such as Jump Trading, have been offloading their Ethereum holdings. The firm moved significant amounts of Ethereum to centralized exchanges (CEXs) in the days preceding the market dip, adding downward pressure.
During this sharp drop, a crypto community member claimed that Sun was liquidated, sharing incomplete screenshots as evidence. This unverified information fueled FUD within the crypto community.
However, Sun promptly refuted the rumors. He stated that his firm rarely engages in leveraged trading strategies because such trades do not significantly benefit the industry.
“Instead, we prefer to engage in activities that provide greater support to the industry and entrepreneurs, such as staking, running nodes, working on projects, and helping project teams provide liquidity,” Sun wrote on his X (Twitter) account.
The on-chain tracking platform Spot On Chain supported Sun’s assertion, confirming that while Sun faced substantial losses, he had not been liquidated. Spot On Chain’s data indicated that Sun accumulated 377,590 ETH, valued at approximately $1.15 billion, through three wallets since February 2024.
Despite Ethereum’s current trading price is well below his average buying price, Sun’s wallet addresses still hold 1,554 ETH, worth around $3.55 million. Additionally, he possesses significant amounts of stETH, EETH, and wstETH.
Read more: How to Buy Ethereum (ETH) and Everything You Need to Know
Furthermore, to reassure the crypto community and stabilize the market, Sun announced the establishment of a $1 billion fund. He stated that the fund’s purpose is to combat FUD, invest more, and provide liquidity.
Disclaimer
In adherence to the Trust Project guidelines, BeInCrypto is committed to unbiased, transparent reporting. This news article aims to provide accurate, timely information. However, readers are advised to verify facts independently and consult with a professional before making any decisions based on this content. Please note that our Terms and Conditions, Privacy Policy, and Disclaimers have been updated.
