Justin Sun-Linked Wallet Buys $38M of Ethereum Amid Price Crash

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After a huge crash across the cryptocurrency market, top assets such as Bitcoin (BTC) and Ethereum (ETH) are looks recovering. This potential recovery is due to the investor’s interest as they continue buying the dip.

Today on August 5, 2024, local blockchain media made a post on X (previously Twitter) that a wallet address “0x5ac” linked to the founder of HTX and Tron, Justin Sun has purchased a significant 16,236 Ethereum (ETH) worth $37 million.

Wallet-linked Justin Sun buys $38 million worth of ETH

During Asian trading hours, this wallet created and withdrew a notable 38 million USDT from Sun’s cryptocurrency exchange, HTX. However, this USDT was later spent to buy 16,236 ETH at an average price of $2,279. 

Justin Sun said that the rumors about his positions being liquidated are false and he rarely engaged in leveraged trading strategies. According to Spot On Chain, since Feb 8, 2024, his address accumulated 377,590 ETH (cost: $1.15B) , average buying price is $3,051.…

— Wu Blockchain (@WuBlockchain) August 5, 2024

The post on X also noted that in the last two days, Sun’s address has transferred a significant 210 million USDT to HTX, which was potentially withdrawn today. 

Ethereum price performance 

At press time, ETH is trading near the $2,455 level and has experienced a price decline of 13% in the last 24 hours. Meanwhile, its trading volume has skyrocketed by 305% during the same period, signaling a high level of participation from traders and investors amid the price crash.

Justin Sun’s recent ETH post

During Asian trading hours, Justin Sun made a post on X that has gained massive attention. In his post, he stated that the rumors about his massive $1.15 billion positions being liquidated are false. He also added that he rarely engaged in leveraged trading strategies. 

The rumors about our positions being liquidated are false. We rarely engage in leveraged trading strategies because we believe such trades do not significantly benefit the industry. Instead, we prefer to engage in activities that provide greater support to the industry and…

— H.E. Justin Sun 孙宇晨 (@justinsuntron) August 5, 2024 Ethereum technical analysis and key levels

According to expert technical analysis, ETH is still bullish despite a massive price crash in the last 24 hours. Since June 2022, ETH has been receiving continuous support from the upward trendline. In the recent price decline, it once again found support from this trendline.

Source: Trading View

Based on the historical price momentum, whenever ETH takes support from this level, it experiences a massive upside rally. Investors and traders are expecting a similar price rally. 

However, if ETH fails to maintain itself above this trendline and closes a daily candle below the $2,150 level, there is a high chance it could experience significant downside momentum in the coming days.