Ethereum Faces Potential 50% Drop as Whales Offload Millions in ETH

$65M in Profits Flown Out by Early Ethereum Whale

SpotonChain has identified whale activity impacting Ethereum’s price. One early ETH investor, “0x086”, just sold 34,125 ETH on Coinbase at an average price of $1,970 per token. This transaction secured $65.66 million in profits, an 4,156% return on investment.

Ethereum reigns supreme with $50.918B TVL, albeit down 13.87%. Solana holds its own at $7.397B, despite an 11.74% dip. Bitcoin and Binance Smart Chain trailed at $5.754B and $5.133B, respectively. Tron rounds out the top 5 with $4.434B, a 15.13% drop. DeFi's taking a breather,…

— Alva (@AlvaApp) March 21, 2025

Details of the whale’s activity:

• Initial ETH buys date back to March 2017, from platforms like Changelly, Bitfinex, ShapeShift, and Binance.

• Original cost basis: $46.30 per ETH.

• Total ETH moved: 34,125 ETH.

• Transaction location: Coinbase Exchange.

While some long-term ETH holders are still holding for yield, the recent whale sell-off is raising questions about broader market sentiment and future price action.

BlackRock Highlights Issues with Ethereum ETFs

Despite Ethereum’s attempts to hold above $2,000, institutional interest in spot Ethereum ETFs is lackluster. Outflows have continued throughout March 2025, and investor confidence is dropping.

Speaking at the Digital Asset Summit (DAS) in New York City, BlackRock’s Head of Digital Assets Robbie Mitchnick pointed out a key reason why Ethereum ETFs are not attractive to institutions. Mitchnick said that the lack of staking options in ETFs makes the product “less interesting” to institutional investors.Until then, crypto asset manager Bitwise has filed to add staking to its Ethereum ETF. The New York Stock Exchange (NYSE) has also filed to list and trade the upgraded ETFs.

Meanwhile, Ethereum’s future will be determined by the balance of institutional interest, network adoption and broader macro. For now, the market waits to see if ETH can hold support or drop further.