Recent events in the Ethereum market have highlighted significant shifts in the strategies of major investors. The project World Liberty Financial, associated with former U.S. President Donald Trump, has begun liquidating its assets, affecting the value of the cryptocurrency and investor sentiment.
World Liberty Financial's Liquidation
World Liberty Financial sold 5,471 ETH for approximately $8.01 million at an average price of $1,465 per token. According to Arkham Intelligence, the organization previously purchased 67,498 ETH at an average price of $3,259, totaling around $210 million in investment. This move reflects significant losses, with estimated unrealized losses on remaining assets reaching about $125 million.
Exit of Institutional Investors
The Ethereum market continues to face downward pressure, having dropped 56.86% since the beginning of 2025. The liquidation from World Liberty Financial marks one of the largest exits by institutional investors from ETH this year. Additionally, long-term ETH holders are also pulling out: one prominent investor, who held 10,000 ETH for over 900 days, sold their holdings for $15.71 million, realizing a profit of $2.75 million.
Analysts' Predictions
Analyst Ali Martinez suggests that Ethereum may find critical support around $1,200. This level could serve as a temporary floor if the asset fails to stabilize above $1,400. Market watchers expect that macroeconomic developments, including a possible interest rate cut by the Federal Reserve in May, could affect liquidity and potentially support ETH's recovery later in the year.
Current events in the Ethereum market underscore the complexity of the investment climate and the need to pay attention to changes in the strategies of major players. Monitoring support levels and macroeconomic factors will be key to any upcoming recovery.
