A wallet linked to World Liberty Financial (WLFI), a decentralized finance protocol associated with U.S. President Donald Trump's family, has sold 8,500 Ethereum (ETH) for approximately $19.27 million in USDC stablecoins, according to on-chain analytics firm Lookonchain. The transaction, executed at an average price of $2,268 per ETH, sent Ethereum's price tumbling about 2.5% in a single day and 3.5% over the week, settling near $2,254.
On-chain data shows that following the sale, the wallet identified as 0x77a5 fully repaid all outstanding loans on the Aave protocol and withdrew its remaining assets, indicating a deliberate deleveraging and de-risking strategy. The move comes amid heightened volatility for WLFI's native token after a governance lock-up plan was approved.
Analysts warn of sustained bearish momentum for Ethereum. According to analyst AltCryptoGems, the ETH/BTC pair continues to face selling pressure and failed to break above a key descending trendline resistance. Analyst Ted noted that Ethereum not only failed to surpass the $2,400 resistance level but also lost the $2,300 support, strengthening bearish sentiment. Technical indicators from Phemex suggest that if ETH fails to reclaim $2,300, it could test lower levels near $2,100, though an RSI divergence hints at possible oversold conditions.
Adding to the uncertainty, investors are watching the upcoming resolution of a lawsuit filed by Tron founder Justin Sun against World Liberty Financial, an event that could further impact WLFI-related assets.
