Ethereum co-founder Jeffrey Wilcke transferred $262 million in ETH to Kraken, sparking sell-off fears.

Wallet holding 105,000 ETH was inactive for months before surprising move to exchange.

Ethereum (ETH) price has seen a decent rally, surging over 60% in the past few weeks to reach a high of $2673. But just as the apex cryptocurrency began its bullish run, something unexpected happened, as Ethereum co-founder Jeffrey Wilcke quietly moved 262 million of ETH to the Kraken exchange.

This move surprised many and raised the big question: Is he planning to sell? As his past actions suggest that a major sell-off might be on the way.

$262 Million in ETH—Gone in a Flash?

According to on-chain tracker Arkham, Wilcke transferred more than 105,000 ETH (about $262 million) to Kraken. What’s even more surprising is that this wallet had been mostly inactive for months. And the timing? It happened right after ETH broke past the $2,600 mark.

ARKHAM ALERT: ETHEREUM COFOUNDER JEFFREY WILCKE JUST SENT $262M OF ETH TO KRAKEN pic.twitter.com/tgUpS0mCBJ

Following the transfer, Wilcke’s ETH holdings dropped to under 300 coins. The last time he made such a large move was in November 2024, just before Ethereum hit a 12-month high, after which the price corrected. Mentioned in today's newsletter:

Ethereum price had seen a decent rally, surging over 60% in the past few weeks to reach a high of $2673. But just as the apex cryptocurrency began its bullish run, something unexpected happened, as Ethereum co-founder Jeffrey Wilcke quietly moved 262 million of ETH to the Kraken exchange. This move surprised many and raised the big question: Is he planning to sell? As his past actions suggest that a major sell-off might be on the way.

According to on-chain tracker Arkham, Wilcke transferred more than 105,000 ETH (about $262 million) to Kraken. What’s even more surprising is that this wallet had been mostly inactive for months. And the timing? It happened right after ETH broke past the $2,600 mark.

This transaction was quickly noticed by the crypto community, who began speculating on what Wilcke's intentions were. At first glance, the transaction looked like a sign that he might sell. But shortly after the deposit, eight new wallets withdrew the same amount of ETH from Kraken. This led some analysts to believe he may have simply redistributed his funds rather than offloading them.

Interestingly, Wilcke himself even shared a repost about the transaction but didn’t offer any explanation. His silence has kept people guessing, but the activity doesn’t clearly point to a dump or a bearish move, despite the recent price drop.

Impact On ETH Price

Despite the massive transfer, Ethereum’s price held up relatively well. As of now, ETH is trading around $2607, reflecting a rise of 2.24%, with the market cap hitting $314 billion.

However, there are also some concerns about a possible bug in the EIP-7702 upgrade, which might slow Ethereum’s recent momentum.

Despite the major move, one positive signal is that Ethereum’s supply on exchanges has dropped to just 4.9%, the lowest in 10 years. That suggests fewer people are preparing to sell, which is often seen as a positive signal for long-term holders.