The Ethereum Market Faces Uncertainty as Justin Sun Unstaked $209 Million from Lido Finance
The Ethereum price could face some turbulence as Justin Sun, the founder of Tron (TRX), has unstaked a staggering $209 million from Lido Finance, a liquid decentralized staking platform for Ethereum. Despite the recent surge in prices for cryptocurrencies like Bitcoin (BTC) and Dogecoin (DOGE), Ethereum has seen a relatively muted performance, reaching $4,000 before consolidating and struggling to move higher. The possibility of more sell-offs could lead to a potential crash in Ethereum’s price if Sun decides to dump more coins.
Justin Sun’s Ethereum Dump
Recent reports from Spot On Chain, an AI-driven crypto platform, revealed that Sun applied to withdraw 52,905 ETH tokens worth about $209 million from Lido Finance. This massive withdrawal was part of the ETH stash Sun allegedly accumulated between February and August 2024.
Spot On Chain disclosed that Sun had purchased a total of 392,474 ETH tokens valued at $1.19 billion during this period. These tokens were acquired through three wallet addresses at an average price of $3,027. Currently, Sun has made a profit of $349 million, representing a 29% increase from the purchasing price.

In a notable move, Sun unstaked 80,251 ETH tokens worth over $131 million from Lido Finance on October 24 and transferred the amount to Binance, the world’s largest crypto exchange. This transfer occurred just before Ethereum’s price dropped by 5% in mid-October, potentially resulting in a loss for Sun.

This is not the first instance of Sun dumping Ethereum. Spot On Chain revealed earlier this month that the Tron Founder had been cashing in his Ethereum holdings during the market rally.
In November, Sun deposited 19,000 ETH worth $60.83 million to HTX, a crypto exchange. Additionally, he transferred 29,920 ETH valued at $119.7 million to HTX again after its price surpassed $4,000 over the past week. These transactions highlight Sun’s recent activity with ETH.
Given Sun’s history of large-scale asset movements, further sell-offs could impact the Ethereum market. The question remains whether Sun will continue his Ethereum dumping spree.
Potential Ethereum Price Impact
Although Sun has not publicly addressed his recent large-scale Ethereum withdrawals, the size and timing of these transactions could pose challenges for Ethereum’s future trajectory. Historically, significant ETH liquidations have led to price crashes due to increasing selling pressures.
With Ethereum’s price still volatile and aiming for a stronger rally, additional large-scale ETH dumps could heighten market volatility, particularly if other investors or whales follow suit. Despite the uncertainty, Ethereum has shown positive performance with over a 7% increase in the last seven days and a 28% surge in the past month, according to CoinMarketCap.
Featured image created with Dall.E, chart from Tradingview.com