- Data shows investors from large organizations are selling off Ethereum. Over the past year, there’s more than a $108 million sell-off.
- The broader crypto market is also seeing an equally massive sell-off.
The bear market is one of the primary reasons investors from large organizations choose to sell off their holdings. However, for 2023, Ethereum comes out the top in terms of outflow for cryptocurrencies.
Ethereum Becomes the Most Sold Cryptocurrency
- According to new data, Ethereum is the favorite cryptocurrency of institutional investors. So, the number of outflows from altcoins is quite glaring compared to other cryptocurrencies. Many altcoins enter the list of sales for institutional investors, such as BNB, XRP, Solana, and the reset. However, the ETH token stands out from the rest. Data shows that it is the most-sold cryptocurrency of the year. Compared to outer cryptocurrencies, it gives them a huge gap. So, there’s more than a $100 million Ethereum outflow from institutional investors since the year started.
- Going into more detail, the data from CoinShares shows a $108 million year-to-date figure for the outflow of ETH tokens. Furthermore, the Ethereum token had an outflow of over $4.8 million in the past week alone. This shows the massive amounts of funds institutional investors allow to exit for the ETH tokens. Furthermore, the only other cryptocurrency that comes close in the comparison of this metric is Tron. Even at that, Ethereum surpasses the other cryptocurrencies by a wide margin. In this metric, the difference between Ethereum and Tron is more than $50 million.
- The number of sales of Ethereum tokens might change for many reasons. However, it mostly depends on the situation of Ark Invest. The financial firm, in collaboration with 21Shares, filed for a spot Ethereum ETF. So, the verification of this spot ETF from the Securities and Exchange Commission will change the dynamics of selling. Many institutional investors might buy more Ethereum tokens due to the approval.
Institutional Investors Selling off Cryptocurrencies, Including Ethereum
- Data from CoinShares shows that institutional investors are selling a lot of crypto tokens. In fact, their data shows that we are in the fourth straight week of a massive sell-off of cryptocurrencies. Looking at the market, one can understand that the investors are having massive sell-offs. So, the crypto market continues to be on the decline due to many macro issues.
- CoinShares weekly data shows an outflow of around $59 million in the previous seven days. Data also indicates Ethereum trading volume is now on the decrease. So, it now has daily volumes averaging $2.3 billion over the last month, compared to a yearly average of $7 billion.
Many large institutions are selling off ETH, and it’s a bad sight to behold. So, Ethereum is now the most sold cryptocurrency by institutional investors. The prolonged bear market seems to be the major issue behind the massive sell-off. However, the ETH token isn’t the only cryptocurrency, as these investors are dumping many tokens.
The information provided in this article is for informational purposes only and should not be considered financial advice. The article does not offer sufficient information to make investment decisions, nor does it constitute an offer, recommendation, or solicitation to buy or sell any financial instrument. The content is opinion of the author and does not reflect any view or suggestion or any kind of advise from CryptoNewsBytes.com. The author declares he does not hold any of the above mentioned tokens or received any incentive from the company