Ethereum fell 8% this week after reports emerged that a cryptocurrency project tied to the Trump family might be preparing to sell its ETH holdings. On-chain data showed large wallet movements, and open interest on Ethereum futures dropped 12% as traders pulled back. The move comes amid a broader mixed week for crypto markets, with Bitcoin spot ETFs pulling in record flows and a Solana memecoin surging on a major exchange listing.
Why the Trump-linked project rattled ETH
The exact nature of the Trump family project hasn't been confirmed, but the sell-off speculation was enough to push Ethereum below key levels. ETH open interest slid sharply, suggesting leveraged positions were being unwound. The 8% price drop wiped out gains from earlier in the month, leaving the token trading near its lowest point in weeks. No official statement has been issued by the project.
Bitcoin ETFs on pace for a record June
Despite ETH's woes, Bitcoin-focused funds are stacking up inflows. Spot Bitcoin ETFs saw $1.2 billion in net inflows during the first week of June alone, with BlackRock's IBIT leading the charge at $450 million. Total assets under management for U.S. Bitcoin ETFs have now surpassed $60 billion. The pace suggests strong institutional appetite, even as retail sentiment on Ethereum wavers.
Solana memecoin $WIF pops on Binance listing
On the altcoin side, Solana-based memecoin $WIF jumped 30% after Binance announced it would list the token. Trading volume spiked 400% in 24 hours, pushing the market cap to $3.5 billion. The listing is a significant milestone for the dog-themed token, which has been one of the more resilient memecoins this year.
ALGO teeters near a critical support test
Algorand's native token ALGO is facing a make-or-break moment. Technical indicators point to a 65% probability of a further downside move, with the coin testing the $0.10 support level. Smart money positioning, however, hints at a potential bounce back to $0.15. The next two weeks will determine whether the support holds or gives way to a deeper sell-off.
With Bitcoin ETFs gearing up for a strong June and Ethereum under pressure from a single headline, the market is showing just how fragmented sentiment has become. The Trump-linked project's next move — or lack of one — will likely decide whether ETH recovers or extends its losses.
