Ethereum News Today: Bitcoin Billionaire Pivots to ETH Amid Institutional Gold Rush

A prominent Bitcoin whale, known for holding over 14,837 BTC valued at approximately $1.6 billion since 2018, has recently sold 670 BTC for $76 million. The funds were used to open a long position in Ethereum, totaling 68,130 ETH at prices ranging from $4,300 to $4,333. The move, revealed by on-chain data from Lookonchain, indicates a strategic shift from Bitcoin to Ethereum, with parts of the position leveraged at 10x and 3x. This follows a broader trend of institutional and whale activity favoring Ethereum, particularly with the recent approval of Ethereum ETFs and growing corporate treasury purchases of ETH.

The whale’s Ethereum positions were opened just days before ETH prices dipped to a low of $4,080, pushing three of the four positions into the red. However, Ethereum has since rebounded, trading at $4,287 as of the latest 24-hour update. This resilience has been attributed to strong ETF inflows and increased institutional interest. For example, BitMine Immersion Technologies added 52,475 ETH to its treasury, raising its total holdings to 1.52 million ETH, valued at $6.6 billion. Additionally, two institution-linked wallets accumulated 9,044 ETH each, totaling $38 million in the same period, according to Lookonchain.

The shift is part of a larger pattern of Bitcoin whales divesting their holdings for Ethereum. In late July, a different whale transferred 1,042 BTC ($123 million) to a new wallet after remaining dormant for six years. Analysts like Willy Woo have noted that whales holding more than 10,000 BTC have been steadily selling since 2017, suggesting a long-term trend rather than a short-term panic. These movements are seen as signs of market maturation, as institutional buyers and long-term holders step in to absorb the liquidity released by large-scale sellers.

Ethereum’s on-chain activity has also surged, with $97 billion locked in decentralized finance (DeFi) protocols and a record number of Ethereum treasury holdings across 69 entities, amounting to 4.1 million ETH ($17.6 billion). This increase in demand has helped Ethereum outperform Bitcoin in recent weeks. ETH ETF inflows alone reached $2.12 billion in a single week, nearly double the previous record. The asset’s dominance on centralized exchanges has also risen, with ETH capturing 32% of spot trading volumes, per CEXIO data.

Despite the positive momentum, Ethereum faces headwinds, including competition from other Layer 1 blockchains that offer faster and cheaper alternatives. Nevertheless, its role as the foundation of stablecoin infrastructure and tokenization has attracted major banks like DBS, which recently issued tokenized structured notes on the Ethereum blockchain. These developments, along with ongoing upgrades such as the Ethereum Foundation’s “Trillion Dollar Security” plan, aim to enhance scalability and user experience, further solidifying its position in the crypto ecosystem.

The whale’s move to Ethereum underscores the asset’s growing appeal among both retail and institutional investors. With over $518 billion in market capitalization and a 13.89% dominance in the broader cryptocurrency market, Ethereum remains a critical asset for those seeking exposure to blockchain innovation. As the market continues to evolve, Ethereum’s ability to maintain its leadership in smart contract platforms and DeFi will likely influence its long-term trajectory alongside broader macroeconomic and regulatory developments.

Source: [1] Bitcoin Whale Shifts to ETH With $295 Million Long Position (https://cointelegraph.com/news/bitcoin-whale-dumps-btc-for-295m-eth-long-position) [2] ethereum, eth, ether currency price (https://www.coinbase.com/price/ethereum)