ETH Whale Increases Long Position by 400 BTC in 7 Hours, Holding $140 Million ETH Long

A major Ethereum whale increased its position significantly by purchasing 3,753 ETH in a single $7 million transaction, leveraging USDC borrowed from Aave according to reports. This move came amid broader market weakness and was executed at an average price of $1,865 per ETH. The whale's holdings now total approximately 15,964 ETH, valued at $29.68 million, reflecting a strategic accumulation during the market downturn.

Large Ethereum holders have continued to absorb supply, increasing their total holdings from 104.48 million to 113.39 million ETH in recent months. This represents a significant absorption of supply, estimated at $18.7 billion, which contrasts with the forced liquidations seen among retail and leveraged traders. The activity suggests a long-term belief in Ethereum's viability.

Whale activity in the Ethereum market has slowed somewhat in early 2026, with large-sized transactions totaling about 2 million ETH over the past 45 days. This indicates a gradual disengagement from major investors, potentially thinning the market's ability to absorb sharp price imbalances. Despite this, accumulation addresses have added over 2.5 million ETH in February as the price declined.

Why Did This Happen?

The whale's accumulation strategy reflects a broader trend of large investors using market weakness to build long-term positions. The purchase removed a significant amount of ETH from circulating supply, tightening liquidity and indicating a belief in Ethereum's long-term value.

The broader Ethereum ecosystem has seen a decline in leverage and open interest in derivatives markets, with leverage dropping from $15.9 billion to $8.73 billion. Despite this deleveraging, large holders have absorbed supply, suggesting confidence in the network's long-term prospects.

How Did Markets React?

The price of Ethereum has traded in the low $1,900s after falling from over $3,400 earlier in the year. Despite the bearish technical structure, whales have added nearly 8.91 million ETH to their holdings, with an estimated average cost near $2,100.

This accumulation occurred during a $7.17 billion leverage flush, where retail and leveraged traders were forced to the exits. The whale activity suggests that heavyweights in the ecosystem used the market weakness as an opportunity to absorb supply, strengthening the underlying holder base and reducing the likelihood of further sharp declines unless macroeconomic or regulatory shocks hit.

What Are Analysts Watching Next?

Ether whale activity on major exchanges has slowed since the start of 2026, with large-sized transactions totaling about 2 million ETH over the past 45 days. The average sell order size for ETH whales on Binance has dropped to 1,350 ETH from 2,250 ETH in early January.

This suggests a gradual disengagement from large market participants, potentially thinning the market's ability to absorb sharp price imbalances. Despite ETH's worst weekly losing streak in years, accumulation addresses have added over 2.5 million ETH in February as the price declined, signaling underlying demand.

U.S. spot Ethereum ETFs have also seen a decline in investor interest, with holdings dropping from over 6.1 million ETH in late January to 5.8 million by February 23. Total assets in these funds have fallen from $18.6 billion to $11.9 billion. BlackRock holds 57% of all ETH in U.S. ETFs.

Ether has declined 35% in the past month and 40% over the last three months, currently trading at around $1,850. The data highlights a shift in investor behavior, with funds pulling from riskier assets as market sentiment declines.

The Ethereum whale activity and broader market dynamics highlight the ongoing tension between long-term institutional confidence and short-term volatility in the crypto market. Investors are closely watching whether this accumulation can stabilize the market or if further macroeconomic pressures will drive prices lower.