The Ethereum Foundation offloaded 2,785 ETH tokens on October 26 for approximately $6.42 million, according to blockchain analysis firm Lookonchain. The sale renewed concerns about ongoing institutional selling pressure on the altcoin.
Community sentiment has grown increasingly critical. One analyst expressed frustration with the pattern of continuous token sales, stating that while supportive of Ethereum's technology, the ecosystem needs stronger incentives for token value appreciation rather than constant liquidation.
The timing adds to recent selling activity. Two weeks prior to the Foundation's latest sale, two wallets linked to the organization deposited $11.13 million worth of ETH into exchange Kraken. That move was followed by a 9% price decline. Additionally, a long-dormant early investor who acquired 100,000 ETH during the 2015 ICO for $31,000 recently dumped 1,500 units worth approximately $3.46 million after nine years of inactivity.
Major industry figures have also participated in recent selling. Maelstrom CIO Arthur Hayes reported liquidating approximately $22.28 million in altcoins including 6,400 ETH, citing macro and geopolitical concerns.
The selling has weighed on investor sentiment. Ethereum's Fear and Greed Index fell to 31, reflecting heightened anxiety within the community. Analysts note that increased token supply without corresponding demand growth can depress prices and undermine confidence among smaller investors.
The selling pattern contrasts with BitMine's accumulation strategy. The company purchased an additional 10,452 ETH tokens, bringing its total holdings to approximately 6,051,933 coins, representing about 4.95% of Ethereum's circulating supply. BitMine has also staked 5.23 million ETH, accounting for roughly 12% of all staked coins on the network.
Ethereum's staking ecosystem continues to grow despite declining yields. The network locked 43.8 million coins in staking by the end of the third quarter, with nearly 2 million units added during that period. The annualized staking yield has declined from 2.81% to 2.63%.
