Ethereum Tanks 21% Amid Jump Crypto Sell-Offs

The global stock markets had a huge impact on the crypto industry, with Ethereum suffering the brunt of the bearish takeover. Jump Crypto, the crypto division of Jump Trading, has been moving crypto assets to exchanges, leading to speculation that the entity intends to sell off a substantial portion of its assets.

Jump Trading offloads millions in ETH

On-chain data from Coingecko shows Ethereum (ETH) is worth $2,284 now, down 21.5% in the last 24 hours and 32.6% in 7 days. Data from blockchain analytics platform SpotOnChain shows that Jump Crypto has moved 17,576 ETH, or over $46.78 million, to exchanges like Binance, OKX, Coinbase, Bybit, and Gate.io in the last 24 hours. 

The transfers include over 120,000 staked Ether tokens worth approximately $314.8 million, which began moving on July 24, one day after the launch of spot Ether exchange-traded funds in the US.

Data shows that Jump Trading currently holds 37.6K wstETH worth $101 million and 11.5K STETH worth $26.3 million and is in the process of unstaking Lido Finance.

So far, Jump Crypto has exchanged 83,091 wstETH worth $341 million for 97,600 stETH and unstaked 86,059 stETH from Lido Finance, totaling $274 million. 

Jump Crypto has faced black trade days with a $325 million Wormhole hack in 2022 and significant losses from the FTX collapse.  In June, the CFTC began probing Jump Crypto for its investment activities.

This recent sell-off by Jump Trading aligns with the crypto market crash after a significant decline in the Asian markets on Monday. If the Fed doesn’t take emergency measures on rate cuts, the likelihood of a US recession will increase significantly.

Also Read: Bitcoin Reacts to Global Market Crash, BTC Blips Under $50k