Genesis Trading's largest creditor sold 12,100 Ethereum, worth $31.43 million, over three days after receiving liquidation proceeds.
The creditor received 114,502 ETH, valued at $358.19 million, in August, marking the largest payout in Genesis Trading's bankruptcy process.
The sell-off, coinciding with Ethereum's sideways market movements, could trigger broader market pressures amid ongoing crypto uncertainty.
A significant Ethereum sell-off has emerged following the liquidation of Genesis Trading, one of the largest cryptocurrency lenders that filed for bankruptcy earlier this year.Â
Notably, the largest creditor of Genesis Trading has offloaded 12,100 Ethereum, worth $31.43 million, within just three days. This transaction has raised eyebrows in the crypto market as the sell-off comes shortly after receiving a substantial repayment from Genesis' liquidation process.
https://twitter.com/WuBlockchain/status/1839211410410320032 Genesis Trading Bankruptcy Sparks Ethereum Liquidation
On August 2, the creditor, identified by the wallet address 0x999...46E, received 114,502 Ethereum, valued at $358.19 million, as part of the bankruptcy proceedings. This was the largest payout in Genesis Tradingâs liquidation process, which began in August after the firm filed for Chapter 11 bankruptcy earlier this year.Â
However, less than two months later, the creditor started to sell a significant portion of its Ethereum holdings. The sell-off began on September 23, with the first transfer of ETH directed to FalconX, a cryptocurrency brokerage firm. Over the next few days, the creditor transferred a total of 12,100 ETH, concluding the transaction on September 25.Â
Ethereum Market Faces Uncertainty Amid Large-Scale Sell-Off
Notably, this liquidation comes at a time when Ethereum has experienced a period of sideways trading, with prices fluctuating between $2,529 and $2,657 over the past week. The sell-off by the Genesis creditor has fueled concerns that this could lead to additional market pressure, particularly as the cryptocurrency market faces broader uncertainties.Â
Additionally, Ethereum saw a short-lived price spike between September 17 and 21, but it quickly returned to its previous range. The recent sale of Ethereum by one of Genesis' major creditors could further challenge the assetâs stability, particularly as other institutional players might follow suit.
Potential Impact on Ethereum Prices and Broader Crypto Market
Moreover, the timing of this large-scale sale has led to speculation about its potential impact on the market. Ethereum remains a major asset for institutional investors, and any significant movement could trigger a broader sell-off. Although Ethereum has remained resilient in recent months, the assetâs ability to maintain stability could be tested by this development.Â
Therefore, the bankruptcy of Genesis Trading, coupled with its creditor's large Ethereum transactions, highlights the ongoing uncertainty in the cryptocurrency space. As more creditors receive their liquidation payouts, the market could face additional waves of sell pressure, particularly if other large creditors decide to follow a similar path.
The post Genesis Trading Creditor Sells $31.43 Million in Ethereum Over Three Days appeared first on Crypto News Land.
