The US government will transfer 300 ETH – Arkham Intelligence
According to Arkham Intelligence, a wallet believed to be controlled by the United States government transferred 300 Ether (ETH) worth $699,000 to a wallet ending in “d46” on August 5th.
OnChain Analytics said the funds in the wallet, which now show a balance of $0, were confiscated by the US government.
Ethereum price action
This ETH move was reported by the US government following days of disappointing price action following the much-anticipated launch of Ethereum Exchange Traded Funds (ETFs) in the US.
Independent analyst Crypto Lion has struggled with price action following the launch of ETFs, largely due to a lack of demand for smart contract assets on exchanges.
The lack of interest coincided with a sharp fall in financial markets as the Bank of Japan raised interest rates further depressing the price of Ethereum.
Related: Jump Trading Ether Dump: Smart Move or Trouble Sign?
At the time of writing, Ether has experienced significant selling pressure due to a handful of market makers who have loaded 130,000 ETH worth $290 million into the market. This pushed Ether to a low of $2,100 on August 5, and the digital asset continues to trade below its 200-day moving average.
Ethereum ETF will be released
In the year According to CoinShares weekly earnings report on August 5, the digital asset investment vehicle recorded its first capital inflow in four weeks.
Spending on Ethereum investment funds and products totaled $146 million for the week, bringing the total spending figure since the launch of Ethereum ETFs in the United States to $430 million.
CoinShares notes that since the data was introduced in 2017 and the launch of Ethereum ETFs in late July, significant inflows have been seen, influenced by $603 million in outflows from the Grayscales Ethereum Trust.
CoinShares analyst James Butterfill reinforced the theory that the current market decline is primarily driven by macroeconomic factors and geopolitical tensions. This negative sentiment among investors may indicate a longer recovery period for ETH than initially thought.
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