Ethereum News Today: A 7-Year Bitcoin Whale Awakens, Moves $10 Billion to Ethereum Ecosystem

A significant shift in cryptocurrency activity was observed in the first week of September as 635 dormant Bitcoin wallets, containing over 636,505 BTC, began showing movement. This included a large-scale transfer of 4,048 BTC by Strategy (formerly MicroStrategy) between August 26 and September 1, increasing its total holdings to 636,505 BTC. The movement of these long-dormant assets reflects a broader trend of capital reactivation within the Bitcoin ecosystem and may signal a growing interest in liquidity and strategic asset allocation.

One of the most notable developments was the reactivation of a Bitcoin whale that had been inactive for seven years. This whale, holding a total of 100,784 BTC, transferred 62,914 ETH valued at $580 million into the Ethereum network. The whale’s activity was preceded by a deposit of 670 BTC ($295 million), followed by an additional 1,000 BTC ($9.45 billion). These inflows into Ethereum underscore a strategic shift of capital from Bitcoin to Ethereum-based ecosystems. The whale’s move has sparked speculation about a broader market rotation from Bitcoin to Ethereum and its associated assets.

The Ethereum Foundation also contributed to the increased activity in the network. Four hours before the whale’s transactions, the Foundation deposited 10,000 ETH into Kraken, valued at approximately $43.21 million. This deposit aligns with the Foundation’s stated goal to sell 10,000 ETH to fund research and development, grants, and donations. The Foundation plans to execute these sales through multiple small orders to avoid large market impacts. This strategy reflects a measured approach to capital management and highlights the Foundation’s commitment to long-term sustainability and ecosystem development.

On-chain analysts have also noted the movement of large ETH reserves by institutional and whale entities. For instance, a whale or institution withdrew 5,100 ETH ($22.02 million) from OKX, bringing its total withdrawn ETH to 42,682 since the end of August. Additionally, Yunfeng Financial announced the purchase of 10,000 ETH for a total cost of $44 million, while SharpLink increased its ETH holdings by 39,008 ETH, bringing its total to 837,230 ETH. These movements indicate a growing institutional interest in Ethereum and reflect confidence in the network’s long-term utility.

The increased activity on Ethereum is expected to benefit various Ethereum-based protocols and Layer-2 solutions. For example, Arbitrum (ARB), a dominant Layer-2 network, has surpassed $20 billion in total value locked (TVL) and is attracting both institutional and retail capital. Similarly, Ethena (ENA), a DeFi protocol, has nearly doubled its TVL to $11.9 billion and offers a high annual percentage yield for stakers. These developments suggest that Ethereum’s infrastructure is expanding, with projects enhancing its scalability and utility.

The movement of capital into Ethereum has also led to heightened attention on Ethereum-linked tokens. Projects such as Little Pepe (LILPEPE), a meme-driven Layer-2 token, have gained traction due to their innovative structure and utility on the Ethereum blockchain. The token’s presale has seen strong participation, with $22.967 million raised out of a $25.475 million goal. These tokens represent a new wave of Ethereum-based innovation, combining cultural appeal with technical functionality.

Source: [1] 3 ETH Tokens to Hold as a Bitcoin Whale Awakens After 7 Years and Moves $270M into Ethereum (https://www.mexc.fm/en-TR/news/3-eth-tokens-to-hold-as-a-bitcoin-whale-awakens-after-7-years-and-moves-270m-into-ethereum/82086) [2] Important News from Last Night and This Morning (https://www.panewslab.com/en/articles/894979fa-2a5c-48af-bc3e-7955c7e1a960)