Bitcoin News Today: Bitcoin's Silent Giants: Holding Power, Shifting Loyalties to ETH

Bitcoin Whale Sends 500 BTC ($55.37M) to Binance — 5,000 BTC Wallet from 12-Year-Old Address Still Holds 3,500 BTC

A significant movement on the Bitcoin blockchain saw a whale address transfer 500 Bitcoins to Binance, valued at approximately $55.37 million. The transaction involved a wallet that initially received 5,000 BTC from an address active for 12 years, when Bitcoin traded at $322. As of now, the whale still holds 3,500 BTC, amounting to around $387 million in value [1]. This activity suggests that while the whale has partially liquidated its position, a substantial portion of its holdings remains untouched, indicating a long-term perspective on Bitcoin.

The ongoing activity of large Bitcoin holders, or “whales,” has drawn attention as a key factor influencing market dynamics. According to on-chain analyst Willy Woo, Bitcoin's oldest whales may be contributing to sluggish price movements in the current cycle. He noted that it now requires over $110,000 in new capital to absorb every Bitcoin these whales sell, given their low cost basis, which is estimated to be $10 or less. The concentration of Bitcoin supply among these early holders has a notable impact on the capital required to drive upward price action [2].

Recent events highlight the potential for whales to cause sharp market corrections. A large Bitcoin holder sold 24,000 BTC, worth more than $2.7 billion, over the weekend, pushing the price down below $110,000 and triggering heightened volatility. This whale’s actions were linked to a flash crash on Sunday, where Bitcoin dropped nearly 2.2% in nine minutes before partially recovering. The same whale also moved Bitcoin to Hyperliquid, a decentralized perpetuals platform, with 18,142 BTC — or $2 billion — already sold and converted into Ether (ETH) [3].

The strategy appears to be part of a broader shift in whale behavior, with several large holders converting Bitcoin into ETH. A second whale recently sold 670 BTC, totaling $76 million, to open a long position in ETH. This trend underscores a growing interest in Ethereum among major investors, especially as ETH has gained 220% since hitting a low of $1,471 in early April [3].

Despite the sharp price drop, market sentiment has not yet fully turned bearish. The Bitcoin Fear and Greed Index, which measures market sentiment, currently sits at 48 out of 100, indicating a “neutral” stance with a slight lean toward caution. Network fundamentals remain strong, with the Bitcoin hash rate nearing an all-time high of 909,080,589 Th/s. Additionally, historical profitability data reveals that holding Bitcoin has been profitable on 99.1% of its days in existence [3]. However, investors remain vigilant, watching for further whale activity that could intensify market turbulence.

Source:

[1] A giant whale transferred 500 bitcoins to Binance, worth ... (https://www.chaincatcher.com/en/article/2201126)

[2] Bitcoin OG whales to blame for BTC's painful rise: Willy Woo (https://cointelegraph.com/news/bitcoin-flash-crash-blamed-crypto-whales-big-eth-trades)

[3] Bitcoin Price Crashes Below $110000 After Whale Sold ... (https://bitcoinmagazine.com/markets/bitcoin-price-crashes-below-110000-after-whale-sold-24000-btc)