Arthur Hayes Moves Another 682 ETH To Binance: A Major Sell-Off Ahead?

Arthur Hayes, a legendary trader and BitMEX co-founder, has made a bold move, sparking a heated debate in the Ethereum ecosystem. Signalling a strategic shift towards yield-focused DeFi tokens, Hayes has moved 682 ETH into Binance.

Considering his recent moves, Arthur Hayes’ latest ETH transfer is seen as part of his larger strategy to sell Ether and invest in assets like ENA, PENDLE, and ETHFI. This shifting sentiment also signals the growing bearish momentum surrounding the second-largest cryptocurrency.

Unveiling Arthur Hayes’ ETH Sale and DeFi Bet

On-chain analytics platform Lookonchain took to X just minutes before to unveil BitMEX co-founder Arthur Hayes’ latest ETH move. According to Lookonchain’s X post, Hayes transferred a massive 682 ETH, valued at around $2 million, to Binance.

Significantly, this ETH transfer is likely to be followed by a significant sell-off, consistent with his previous actions. Reportedly, Arthur Hayes has offloaded 1,871 ETH, worth $5.53 million, to invest in multiple DeFi tokens. As noted by Lookonchain, the trader has invested millions in Ethena, Pendle, and ether.fi in a week. Following his ETH sale, he bought 1.22 million ENA, worth $257,500, 137,117 PENDLE, worth $259,000, and 132,730 ETHFI, valued at $93,000.

Notably, Arthur Hayes has made notable ETH transfers to Galaxy Digital, Binance, and Flowdesk between December 19 and 20. While he moved $1.5 million to Galaxy, $2.03 million was sent to Binance and Flowdesk during the same period.

At the same time, Hayes acquired DeFi tokens like ENA, signalling his confidence in similar tokens. This capital reallocation indicates that Arthur Hayes is utilizing Ethereum’s liquidity to fund high-potential DeFi investments. On December 20, Hayes confirmed his ETH sale for DeFi token purchases, as reported by CoinGape. He stated, “We are rotating out of ETH and into high-quality DeFi names, which we believe can outperform as fiat liquidity improves.”

Ethereum Price Struggles Amid Hayes’ Bearish Signal

Arthur Hayes’ ETH sell-off has sparked a major bearish sentiment in the market. This has added fuel to the prevailing negative trend. As of press time, ETH is valued at $2,924, trading below the critical support at $3,000.

According to crypto analyst Ted, if ETH fails to surge above this key level, the price will see a further downturn and plummet below $2,800. These technical signals, in addition to Hayes’ sell-off, have sparked speculations of Ether’s sustained bearish trend.

Moreover, major Ethereum treasury company ETHZilla has dumped 24,291 ETH for about $74.5 million, as part of its loan repayment. This massive disposal has significantly impacted the Ethereum price, which struggles to recover from the prevailing downtrend.