Ethereum Foundation Large-Scale ETH Sell-Off Challenges Market Supply and Demand Narrative

The Ethereum Foundation's recent consecutive large-scale ETH sales have become a hot topic in the market, posing dual tests for ETH's price and narrative.

Within two weeks, the foundation has sold approximately $47 million worth of ETH to BitMine through OTC transactions, and since March 2026, the total sale has reached 30,000 ETH, worth about $68.92 million. Although the foundation has explicitly stated that the proceeds will be used for core operations, protocol development, and ecosystem funding, its systematic selling behavior still raises concerns about supply-side pressure in the market.

In the short term, large OTC sales may not directly impact liquidity in the secondary market, but their ongoing selling activity is breaking market expectations of ETH as a "ultrasound money" deflationary narrative. Market concerns are that the foundation's continued reduction of holdings, as a core ecosystem entity, could create structural selling pressure on ETH's price, weakening investor confidence in its long-term value. Coupled with the current overall market sentiment volatility, this behavior could amplify ETH's short-term fluctuations.

In the long term, if these funds are genuinely invested into protocol upgrades and ecosystem development, they could strengthen Ethereum's fundamentals. However, in the short term, market anxiety over "selling pressure" will still dominate price expectations. Investors should closely monitor the foundation's subsequent selling pace and the market's ability to digest this behavior, remaining alert to volatility risks caused by emotional selling. $ETH ‌#DeFi4月安全事件损失超6亿美元