Fear and panic about Genesis and Barry Sibert’s DCG continues to rise in the market. Meanwhile, a large amount of idle Ethereum linked to Genesis and Poloniex has been moved in the last 24 hours. The dormant addresses transferred 22,982 ETH to two new wallet addresses. Here’s what’s going on with crypto companies…
Cryptocurrency wallet linked to Genesis takes action
In a tweet on December 19, PeckShieldAlert revealed that 2 idle addresses transferred approximately 22,982 ETH worth 27.2 million to 2 new addresses. This Ethereum appears to have been acquired from Genesis and Poloniex in 2016 and 2018, respectively. In addition, there is another interesting information about the wallet in question. The last movement of Ethereum in wallet addresses was in October 2018. On-chain analytics platform Lookonchain also revealed that 2 addresses that have been idle for 5 years became active on Sunday. He reported that the wallets transferred 22,983 ETH. The two new addresses now hold around 13,105 ETH and 9,878 ETH respectively.
Old addresses are now only worth $57.32 and $25.81. Also, the new addresses only have Ethereum transferred on Sunday. The movement of dormant crypto assets is usually followed by the sale of these assets over the next few days. Ethereum price is currently trading at $1,182, down about 6 percent in a week. Negative market sentiment and Binance FUD led to massive sell-offs last week. Analysts believe that Ethereum price could rise from $1,070 to $1,300 again. It will also depend on Bitcoin holding the $16.5 support level.
DCG’s Genesis and Greyscale at risk
Last week, the crypto space saw selling towards Grayscale and thus DCG related cryptocurrencies. There have been huge sales in altcoins offered as fund services on these platforms – cryptocurrencies such as Filecoin, Flow, Stacks, Livepeer, Ethereum Classic, Decentraland and others. Crypto experts Andrew Parish and Adam Cochran noted that if DCG is selling its cryptocurrencies in small lots, it could be the early stage of DCG bankruptcy. Also, according to the expert, DCG may sell Grayscale’s GBTC and EETH. According to the expert, therefore, Grayscale is indeed at risk of bankruptcy. According to data from Coinglass, GBTC is trading with a discount premium rate of -48.79% and EETH with a discount premium rate of -52.58%.