BTC Whale Swaps to ETH Again, Moving $38.84M Worth of ETH

A major Bitcoin whale shifted $38.84 million worth of Ethereum on January 16, 2026, according to on-chain tracking data. The movement highlights ongoing large-scale trading activity as institutional and high-net-worth investors continue to reallocate digital assets. This comes amid renewed interest in Ethereum-based products and growing inflows into ETH ETFs.

Bitcoin ETFs also saw a significant inflow of 8,933 BTC, valued at $8.4992 billion, on the same day. This was the highest single-day net inflow for Bitcoin ETFs in over three months. Ethereum ETFs added to the momentum with a net inflow of 54,952 ETH, worth $181.51 million according to Moomoo data.

The Ethereum ETF inflows are part of a broader trend of institutional accumulation in digital assets. Digital Asset Treasury (DAT) deployed $49 billion into crypto in 2024, increasing its total holdings to $134 billion by January 1, 2025 according to Bitcoin World. This reflects a growing acceptance of crypto as a legitimate asset class.

Why Did This Happen?

The recent inflow into Ethereum ETFs suggests continued institutional confidence in the asset. Grayscale’s ETHE recorded a daily flow of $3.9 million on January 13, 2026, according to Farside Investors. This trend is part of a broader shift as major institutions view digital assets as a core part of their portfolios.

The move also coincides with favorable macroeconomic conditions. Soft inflation data in the U.S. has led to a "risk-on" environment, encouraging investors to seek higher returns in digital assets. This has been particularly evident in the performance of Bitcoin and Ethereum ETFs over the past week.

How Did Markets React?

Bitcoin reclaimed the $97,000 level following the influx of capital into spot ETFs. On January 14, 2026, spot Bitcoin ETFs alone absorbed $843.6 million in fresh capital, the largest single-day inflow of the year. BlackRock's iShares Bitcoin Trust (IBIT) led the way with $648 million in inflows, followed by Fidelity's Wise Origin Bitcoin Fund with $125.4 million according to FinanceFeeds data.

Ethereum also benefited from the inflow. The spot Ethereum ETFs recorded $175 million in net inflows on January 14, the strongest session in nearly three months. BlackRock's ETHA flipped back to positive after a brief period of redemptions. This suggests that institutional investors are not only focusing on Bitcoin but are diversifying into Ethereum and other Layer 1 ecosystems.

What Are Analysts Watching Next?

Analysts are closely monitoring Ethereum's price action as it continues to trade near key resistance levels. The 3.9 million USD inflow into Grayscale's ETHE on January 13, 2026, is seen as a bullish signal. If ETH breaks above the 50-day EMA, it could signal further upward momentum. Traders are also watching for confirmation from on-chain metrics such as total value locked in DeFi protocols and whale accumulation patterns.

Institutional flows are also expected to influence broader market trends. The Digital Asset Market CLARITY Act, currently under consideration in Congress, could provide a regulatory framework that further encourages institutional investment. A clearer regulatory environment would likely lead to more stable and sustained inflows into crypto ETFs.

Market participants are also watching the performance of newer crypto products. For instance, Winston Pierce, a Canadian-based firm specializing in AI-driven trading and crypto arbitrage, recently expanded its operations to Canada. The firm's proprietary AI technology is designed to identify low-risk arbitrage opportunities across major exchanges, potentially adding further liquidity and efficiency to the digital asset markets.

The recent move by Aether Holdings to acquire Coinstack, an institutional crypto newsletter, signals a growing institutional focus on market intelligence and data. This acquisition will allow Aether to expand its reach into the crypto space and provide more tailored insights to institutional clients, further reinforcing the shift toward institutional-grade crypto services.

The growing inflows into both Bitcoin and Ethereum ETFs indicate that the market is maturing. Institutional investors are no longer just chasing price spikes but are using ETFs as tools for long-term capital preservation and portfolio diversification. As more capital flows into these products, the structural support for the entire digital asset ecosystem is likely to strengthen.

With Ethereum ETFs showing renewed strength and Bitcoin ETFs maintaining their inflow momentum, the market is setting the stage for a potential sustained rally. Institutional participation is now a key driver of price discovery, and the next few weeks will likely determine whether this trend continues.