- World Liberty sold 5,471 ETH for $8M, facing $125M in unrealized losses.
- Ethereum whale exited 10,000 ETH for $2.75M profit after 2 years.
- Analysts highlight $1,200 as ETH’s next key support amid market decline.
World Liberty Financial, the DeFi initiative reportedly linked to Donald Trump, has sold 5,471 ETH at a steep loss as Ethereum’s price plunged to $1,400. Blockchain analytics platform Arkham confirmed the transaction, valuing the sale at approximately $8.01 million.
Trump-Backed World Liberty Financial Dumps Ethereum Holdings
The ETH was offloaded at a rate of $1,465 per token just hours before reports emerged. This sale represents a significant markdown from the platform’s earlier Ethereum purchases made during higher market valuations.
Records suggest that World Liberty Financial originally acquired 67,498 ETH for a total of $210 million, translating to an average purchase price of $3,259 per token. The current value of those holdings sits well below acquisition cost, with the organization facing a cumulative unrealized loss estimated at $125 million. This large-scale disposal has sparked concerns among investors about institutional confidence in Ethereum’s near-term prospects.
Institutional and Whale Liquidations Amplify Downward Pressure
The decline in Ethereum’s market value has also triggered action among long-term holders. A major Ethereum whale recently sold 10,000 ETH for $15.71 million after holding the asset for over two years, , according to Arkham Intelligence.
This investor initially purchased the tokens for a total of $12.95 million across two transactions in late 2022. While the whale had previously sat on a sizable unrealized gain during Ethereum’s peak above $4,000, the recent decision to exit locked in a more modest profit of $2.75 million.
These moves come amid widespread bearish sentiment and weakening support levels. Ethereum has fallen by over 56 percent since the start of 2025, with investors now watching key technical indicators. Analysts warn that the asset’s inability to hold major support thresholds may lead to further downside pressure in the short term.
Analysts Identify Support and Await Fed Policy Response
Crypto analyst Ali Martinez has highlighted $1,200 as a critical support zone. He emphasized that if Ethereum does not stabilize soon, the next price target could slide further.
Meanwhile, venturefounder, another respected market analyst, suggested that Ethereum may be nearing a cycle bottom. He pointed to the possibility of upcoming Federal Reserve rate cuts and renewed liquidity injections in May, which could alter market sentiment.
Investors remain cautious as macroeconomic uncertainties continue to influence the digital asset space. Both institutional moves and whale activity signal a retreat from speculative positions. The recent Ethereum sales indicate a lack of confidence in short-term price recovery despite long-term optimism expressed by some analysts.
World Liberty Financial’s decision to offload a portion of its Ethereum holdings at a considerable loss underscores growing unease in the digital asset sector. With Ethereum’s value dropping below critical levels and key holders exiting positions, the market faces mounting pressure. Future movement in Ethereum will depend on broader economic policies and whether the asset can find firm support.
