Bitcoin News Today: A 7-Year Bitcoin Veteran Bets Big on Ethereum's Breakout Potential

A Bitcoin whale with a seven-year-old wallet, historically holding 14,837 Bitcoin (BTC) valued at $1.69 billion, recently executed a significant capital reallocation, liquidating a $76 million BTC position to go long on Ether (ETH). The whale deposited the BTC into Hyperliquid and sold it before using the proceeds to establish four long positions totaling 68,130 ETH, valued at $295 million at the time of entry, as reported by on-chain analytics firm Lookonchain [1]. Subsequent activity saw the whale closing some of these leveraged positions and shifting to spot ETH purchases, adding another 19,794 ETH ($85 million) to its holdings [3]. In a further move, the whale deposited an additional 20 million USDC to open a 6x-leveraged long position in ETH, increasing its total holdings to 78,265 ETH, valued at $334 million across five wallets [4].

The whale’s aggressive Ethereum accumulation appears to be part of a broader trend of capital migration from Bitcoin to altcoins. Over the past two days, the whale sold 3,142 BTC ($356.47 million) and used the proceeds to buy 55,039 ETH ($237 million) through spot trading and to establish a 135,265 ETH ($577 million) long position. As of the latest data, three of the five long positions are showing unrealized gains, with the largest position yielding over $2 million [7]. This activity coincides with broader institutional and market movements favoring Ethereum, including a reported $6.6 billion ETH treasury by BitMine, a publicly traded Bitcoin company [3]. In addition, recent market data shows Ethereum ETFs attracting net inflows while Bitcoin ETFs experience outflows, signaling a shift in institutional capital allocation [6].

The Bitcoin whale’s strategy seems to reflect a growing market sentiment that Ethereum is nearing a potential breakout. This belief is supported by the recent performance of the Bitcoin Dominance Index (BTC.D), which has fallen below the 50-week exponential moving average after a two-and-a-half-year uptrend, a technical indicator often used to signal a potential altseason. As of the latest reporting, BTC.D stands at 59.49%, indicating Bitcoin’s share of the total cryptocurrency market cap [3]. The whale’s actions also align with the broader narrative of long-term Bitcoin holders diversifying their exposure to other crypto assets as the market matures.

The whale’s initial Bitcoin position was acquired in 2018 from exchanges Binance and HTX at a price of $7,242 per BTC, when the holdings were worth $107.5 million. Now, with Ethereum’s price approaching its 2021 high of $4,878, the whale appears to be capitalizing on favorable conditions to expand its Ethereum holdings [1]. The whale’s latest moves also include a new wallet setup for leveraged ETH trading, suggesting continued confidence in Ethereum’s potential price appreciation.

Market analysts have noted that while OG Bitcoiners selling their holdings can raise concerns, such activity is not uncommon in a maturing market. The presence of new buyers, including institutions and high-net-worth individuals, is seen as a positive sign of increased market depth and liquidity [1]. Nonetheless, the whale’s actions also highlight the growing volatility and leverage usage in crypto trading, as several of its ETH positions were opened on 10x leverage, exposing it to significant risk if the price were to dip below critical levels [1].

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] A certain Bitcoin long position was liquidated with a loss... (https://www.chaincatcher.com/en/article/2200128) [3] OG Bitcoin Whale Dumps BTC for $330M Ethereum Position (https://finance.yahoo.com/news/og-bitcoin-whale-dumps-btc-183928530.html) [4] Data: "$125000 rolling trader" ETH long position has a... (https://www.chaincatcher.com/en/article/2199950) [5] "Rolling Brother" ETH long position has a floating profit of... (https://www.panewslab.com/en/articles/19a626a3-b237-40ba-934e-4d25b949350f) [6] Bitcoin whale wakes after seven years, rotates holdings... (https://www.theblock.co/post/367914/bitcoin-og-sell-bitcoin-buy-ether) [7] This 7-Year-Old Bitcoin Whale Just Sold $76M In BTC To... (https://www.mitrade.com/au/insights/news/live-news/article-3-1061607-20250822)