The Ethereum Foundation has intensified its ETH liquidations, unloading significant amounts of tokens as the cryptocurrency reaches levels not seen since 2021.
Ethereum Foundation's Sale of ETH
Blockchain tracking platform Lookonchain reported that in the past 24 hours, the Ethereum Foundation initiated several sizable transactions, starting with the sale of 1,695 ETH for $7.7 million worth of DAI stablecoin. Shortly afterward, another 1,100 ETH was converted to $5.06 million in DAI. In total, the Foundation has now sold roughly $12.8 million in ETH in this latest round of disposals.
Price Surge and Its Causes
On-chain data shows that the ETH originated from a wallet first funded in 2017 by another address labeled 'EF 1,' also linked to the Foundation. The timing of these sales coincides with Ethereum’s sharp rally, with the asset climbing 8.3% over the past day to trade just under $4,635. The second-largest cryptocurrency by market value briefly reached $4,683 — a price point not seen since November 2021. Market analysts attribute ETH’s resurgence to mounting institutional interest.
Defense of Liquidation Strategy
The Foundation's latest liquidations follow a pattern of periodic sales that have occasionally stirred community debate, particularly when executed during strong market rallies. However, Foundation leadership has consistently defended the strategy, describing the sales as pre-planned conversions to cover operational needs, grants, and salaries rather than opportunistic profit-taking. Aya Miyaguchi, the Foundation’s executive director, reiterated that stablecoins are often required to meet these obligations.
For now, Ethereum’s rally appears unshaken by the sales. However, market watchers warn that continued selling pressure could reignite concerns over the timing and scale of the Foundation’s actions.
