Buterin Sells Million ETH Holdings: Ether Falls Under Pressure

In February, Vitalik Buterin executed a strategic restructuring of his Ether holdings. The Ethereum co-founder reduced his assets by approximately 17,000 ETH worth around $43 million. According to Arkham Intelligence data, wallets associated with Buterin decreased from 241,000 ETH to 224,000 ETH—a continuous decline spread over several weeks.

The Strategy Behind Buterin’s Ether Sales

In January, Buterin announced he had set aside 16,384 ETH to fund privacy technologies, open hardware, and secure software systems. The payout was not made in a few large transactions but through the decentralized protocol CoW (Coincidence of Wants), which split the transactions into numerous small swaps.

This approach aimed to minimize slippage during large trades. However, it resulted in a steady, weeks-long selling pressure rather than a single event. The transactions took place throughout February, with particularly high volumes on the first and last days of the month.

Ether Under Pressure: Market Analysis and Impact

The timing of the sales coincided unfavorably with a major market correction. Ether fell 37% in February, dropping to around $1,900. This price decline significantly worsened the negative narrative around the token. At the same time, staking yields dropped to about 2.8%—a level that made holding assets less attractive compared to risk-free alternatives. Over 30% of the ETH supply remains staked.

However, the current market shows signs of recovery. With the current price around $2,140, Ether has a 30-day performance of +8.38%. This suggests partial stabilization after the February correction, although the increase has not yet fully offset all of last month’s losses.

Privacy Initiative and Institutional Losses

Buterin’s actions are part of a broader initiative to support privacy and security projects. As the Ethereum co-founder explained, the capital will be deployed gradually over several years. The initiative aligns with the current phase of “moderate austerity” by the Ethereum Foundation, which is maintaining its technical roadmap.

The selling pressure on Ether has significantly increased losses for institutional holders. Based on Arkham data, Bitmine Immersion Technologies, one of the largest ETH companies, is estimated to be carrying over $8 billion in unrealized losses. This follows a roughly 60% decline over six months—well below the institution’s average purchase price.

Bitcoin Rally and Altcoin Outlook

Alongside the Ether pressure, Bitcoin experienced a recovery. The leading asset broke through the $70,000 mark and retained most of its gains after U.S. President Donald Trump announced a five-day pause in military actions against Iran’s energy infrastructure. This geopolitical factor provided market reassurance.

Altcoins like Ether, Solana, and Dogecoin rose by about 5%, while crypto-related mining stocks gained alongside broader equity markets. The S&P 500 and Nasdaq each increased by approximately 1.2%.

Analysts predict that the next moves in the Bitcoin market will heavily depend on the stability of oil prices and shipping traffic through the Strait of Hormuz. A stabilization scenario could support a test of the $74,000–$76,000 range. Conversely, if conditions worsen, prices could fall back into the mid-$60,000s.