Bitcoin News Today: A Bitcoin Whale’s $2.6B Move Sheds Light on Market’s Shifting Power

Bitcoin’s price has declined to levels not seen in over six weeks, dropping below $109,000 after a major whale offloaded 24,000 BTC worth approximately $2.59 billion. The transaction, attributed to a whale that had held the Bitcoin for over five years, was followed by a swift rotation into Ether (ETH) spot and futures on Hyperliquid, a decentralized exchange. The move reflects a broader trend of capital reallocation among institutional investors and highlights the growing momentum in the second-largest cryptocurrency.

The sale was executed in a span of hours, sending Bitcoin’s price tumbling nearly 2.2% within nine minutes on Sunday evening, with the asset bottoming out at $112,174 before stabilizing around $109,000 on Monday. The abrupt decline caught leveraged traders off guard, triggering $284 million in long position liquidations according to CoinGlass data. Despite the sell-off, Bitcoin futures open interest climbed to an all-time high of 762,700 BTC, a 13% increase from two weeks earlier. The elevated open interest suggests that traders remain engaged in leveraged positions, though a further decline below $110,000 could trigger cascading liquidations.

On the options market, bearish sentiment has intensified, with put options maintaining a 10% premium over call options for the 30-day delta skew. This premium reflects a pronounced fear of further downside, particularly in light of the $6,050 drop in Bitcoin’s price over just two days. Additionally, the Bitcoin futures premium is currently at a neutral 8%, up from 6% the prior week, signaling a lack of broad bullishness despite the recent all-time high recorded in late August.

The distribution pattern among Bitcoin holders has also expanded, with all wallet cohorts shifting into sell mode. Onchain data from Glassnode reveals that the 10–100 BTC group has been the most active in distribution, while the 100–1,000 BTC group remains divided around $105,000, a potential support level. The 0–1 BTC and 1–10 BTC holders, meanwhile, have shown accumulation behavior, especially after Bitcoin fell below $107,000. This suggests that while short-term traders are exiting, long-term investors may be viewing the current price as an opportunity to accumulate.

In contrast, Ether has seen a surge in demand from both institutional and retail investors. The whale that sold $2.6 billion in Bitcoin has been closing Ether long positions and acquiring spot ETH, indicating confidence in its future performance. According to Lookonchain, the whale locked in $33 million in profit from a $450 million ETH long, while still holding a significant position in the asset. Ethereum’s price, which reached a record $4,954 on Sunday, dipped below $4,400 on Monday, but the coin has outperformed Bitcoin over the past month, rising nearly 25% compared to a 5.3% decline for BTC.

Analysts are watching closely for signs of renewed buying momentum, particularly from spot ETFs, as recent data shows that $1.2 billion in net outflows from U.S.-listed Bitcoin ETFs have dampened optimism. Meanwhile, Ether ETFs have drawn consistent inflows, with Fidelity’s FETH fund leading the way. The diverging performance between BTC and ETH ETFs has raised questions about the sustainability of Bitcoin’s current rally and whether capital will continue to flow into the broader cryptocurrency market.

As the market consolidates, the coming days will be critical in determining whether Bitcoin can stabilize and regain upward momentum. A sustained rally above $120,000 would likely depend on renewed ETF inflows and a shift in investor sentiment, while a further breakdown below $105,000 could open the door to a deeper correction into the $90,000 range. Given the whale activity, open interest levels, and options data, the market appears to be in a state of heightened volatility and caution.

Source: [1] Bitcoin futures demand rises even as BTC sells off (https://cointelegraph.com/news/bitcoin-futures-demand-rises-even-as-btc-sells-off-what-gives) [2] Bitcoin holders 'distribute' as $105K becomes BTC's last stronghold (https://cointelegraph.com/news/bitcoin-holders-distribute-as-dollar105k-becomes-btc-s-last-stronghold) [3] $11B Bitcoin Whale closes $450M ETH long, scoops up (https://cointelegraph.com/news/11b-bitcoin-whale-closes-450m-eth-long-108m-ether) [4] BTC, ETH, DOGE Price News: Declines Pick Up Speed (https://www.coindesk.com/markets/2025/08/25/bitcoin-tumbles-back-to-usd110k-as-crypto-bounce-fails-ether-plunges-8)