Ethereum Co-Founder’s $75 Million Kraken Deposit Raises Market Speculation

Jeffrey Wilcke’s Transfer to Kraken Sparks Market Concerns

Ethereum co-founder Jeffrey Wilcke has transferred a substantial amount of Ether to Kraken, causing speculation about a potential market correction. Wilcke’s move of $75.2 million worth of Ether to the centralized exchange has raised eyebrows in the crypto community.

Previous Transactions and Market Trends

Wilcke’s past transactions have sometimes been precursors to price declines in Ethereum. Instances such as his deposits in January and February resulted in subsequent price drops. Despite this recent transfer, Wilcke still holds a significant amount of ETH valued at over $384 million.

Community Backlash Over Ethereum Leadership’s Actions

Ethereum leaders and organizations selling ETH or making significant deposits often face public backlash. Earlier this year, the Ethereum foundation sold a substantial amount of Ether, leading to criticism from users who accused them of profiting from reserves.

Foundation’s Response and Use of Funds

Ethereum co-creator Vitalik Buterin clarified that the foundation sells portions of its holdings to support initiatives and operational costs. The foundation’s annual report revealed that funds were primarily directed towards supporting the Ether ecosystem and rewarding projects in decentralized finance.

Ethereum Price Movement Post-U.S. Elections

Following the U.S. general elections, Ethereum’s price experienced an uptick along with other cryptocurrencies. As the total crypto market reached $3.4 trillion, ETH rose to $3,550, although it remained below its previous all-time high by around 28%.