Arthur Hayes sold 8.3 million USD worth of ETH and bought it all back just a week later: I swear I will never take profits again!

Just last week, the legendary trader Arthur Hayes warned that Ethereum (ETH) could drop to $3,000. Now, he has made a 180-degree turn in his attitude—just a week after dumping ETH worth $8.3 million, he "had to" buy it all back and boldly declared, "I swear, I will never take profits again!" This move not only reflects his confidence in the future of ETH but also resonates with the current favorable information in the macro and regulatory environment.

From Dumping to Repurchasing: A Dramatic Reversal in One Week

(Source: Trading View)

According to on-chain data, Hayes sold 2,373 ETH (worth about 8.32 million USD) last week when the price of ETH was around 3,500 USD, and converted it into the stablecoin USDC. At that time, he believed that President Trump's new tariff policy and the soft US employment data could cause BTC to drop to 100,000 USD and ETH to fall to 3,000 USD.

However, just a week later, ETH not only did not decline but rose to 4,200 USD. Hayes acted quickly, transferring 10.5 million USD in USDC back to the exchange through multiple transactions, heavily buying back ETH. He jokingly told Fundstrat founder Tom Lee on X (formerly Twitter): "I swear, I will never take profits again."

Institutional and corporate funds simultaneously increase ETH

Hayes's buyback is not an isolated case. Recently, traditional finance and listed companies are actively establishing an Ethereum treasury:

BitMine Immersion (led by Tom Lee) has accumulated over 3 billion USD in ETH, becoming the largest public holder in the world.

Companies like SharpLink Gaming and The Ether Machine are also purchasing ETH and operating validation nodes to earn staking rewards.

This strategy is similar to Michael Saylor's Bitcoin treasury model, indicating that ETH is becoming the new core of corporate asset allocation.

Favourable Information on Macroeconomics and Regulation Drives ETH Surge

ETH recently broke through $4,300, setting a new high since the end of 2021, with an increase of over 43% this month, mainly driven by the following factors:

The weakening of the US dollar and the expectation of interest rate cuts in September boost risk assets.

The SEC clarifies that liquidity staking services do not constitute the issuance of securities, removing key regulatory obstacles.

New directive from the White House allows 401(k) retirement plans to allocate cryptocurrency assets and prohibits banks from rejecting crypto businesses based on reputational risks.

ETF Fund Inflow: In July, ETH ETF inflow reached 5 billion USD, with trading volume hitting a new high of 238 billion USD.

On-chain data shows weakening dumping pressure

Exchange outflow: Stabilized at 33,000 ETH per day, indicating more tokens entering staking and reduced selling pressure.

Market Structure: Bitcoin's market share has decreased from 62% to below 58%, with funds rotating towards ETH and altcoins.

Technical Analysis: ETH RSI remains in a healthy range, structural bearish positions continue to be closed, and price momentum is strengthening.

Analyst's Perspective: ETH May Become the Cornerstone of Economic Innovation in the U.S.

Real Vision's chief crypto analyst Jamie Coutts stated that ETH's dominance in the decentralized and tokenized space positions it to stand alongside artificial intelligence as a core driver of innovation and growth in the US economy.

Independent analyst Axel Adler Jr. pointed out that ETF inflows and the structural supply reduction of corporate bonds are "intensifying" the upward momentum of ETH.

Conclusion

Arthur Hayes's "sell and buy back" strategy reflects the current strong fundamentals and market confidence of ETH. As the macro environment warms up, favorable regulatory developments are taking effect, and institutional and corporate funds continue to flow in, ETH is expected to challenge higher price levels before the end of the year. For investors, this may be a key signal for a new bull market.