Ethereum News Today: Whales and Institutions Buy ETH as Retail Investors Flee

Ethereum's long-term holders are selling at their fastest pace since 2021, according to on-chain analytics firm Glassnode, as macroeconomic uncertainty and weak institutional demand weigh on the crypto market. The exodus coincides with a broader selloff in altcoins, with Ethereum (ETH) trading below $3,500 as of November 12, 2025, down from a recent high of $3,565. Meanwhile, large investors are stepping in, leveraging borrowed funds and OTC channels to accumulate ETH at scale, signaling divergent market dynamics between retail and institutional players.

A single whale has purchased $1.33 billion in ETH using $270 million in stablecoins borrowed from Aave, according to blockchain analytics firm Lookonchain. The entity, holding 385,718 ETH, has maintained a health ratio of 2.1, indicating a leveraged but stable position. This activity aligns with broader whale buying, including a $70 million ETH accumulation by an unknown investor over two days and a $206 million AaveETH purchase according to market data. "The size and speed of these transactions suggest institutional participants or treasury buyers," said Rachel Lin, CEO of SynFutures, noting that such behavior often precedes market bottoms.

The selling pressure from long-term holders contrasts with aggressive buying by institutional players. SharpLink has deployed $200 million of its ETH holdings on Ethereum Layer 2 networks to boost yields, while Bit Digital's Q3 earnings highlighted Ethereum's growing institutional appeal according to market analysis. ARK Invest also resumed its crypto buying spree, adding $5.8 million in BitMine shares and $2.9 million in Bullish as markets dipped according to reports.

Market fundamentals remain mixed. Ethereum's realized price for large holders (10K–100K ETH) has dipped to $2,950, a critical level below the $3,000 psychological barrier. Meanwhile, U.S. spot ETH ETFs have recorded net outflows of $1.4 billion since late October, exacerbating downside pressure. The Fed's hawkish stance has further dented rate-cut hopes, compounding crypto's vulnerability to macroeconomic shifts.

Despite the near-term weakness, some analysts argue that current price levels present a strategic entry point for long-term investors. "Accumulation can continue if macro tail-risks don't re-spike," Lin said, pointing to catalysts like the Ethereum upgrade roadmap and derivatives-driven buying-where whales borrow stablecoins to amplify rallies.

Ethereum's path forward remains uncertain. While leveraged positions and whale activity hint at bullish conviction, the broader market's reliance on macroeconomic catalysts means volatility is likely to persist. For now, the contrast between retail exodus and institutional accumulation underscores a market at a crossroads, where patience and capital depth may determine the next chapter for ETH.