Ethereum News Today: Ethereum Steals Bitcoin's Spotlight as Whales and Institutions Shift Focus

Bitcoin whales are increasingly shifting their positions from Bitcoin (BTC) to Ethereum (ETH), signaling a growing preference for the second-largest cryptocurrency amid evolving market dynamics. On-chain data from platforms such as Lookonchain revealed that a Bitcoin whale, dormant for nearly seven years and holding 100,784 BTC ($642 million), recently resurfaced and began offloading BTC to buy 62,914 ETH ($267 million). Additionally, this whale opened a significant 135,265 ETH ($577 million) long position at an average price of $4,585 [1]. Another dormant whale, originally holding 85,947 BTC ($547 million), deposited BTC into Hyperliquid and remains in control of six wallets with 83,585 BTC ($9.42 billion), indicating a strategic reallocation of assets [1]. These moves align with broader market speculation that Ethereum is gaining relative strength compared to Bitcoin. Analysts such as Miles Deutscher argue that Ethereum’s stronger performance during BTC dips, combined with over $20 billion in treasury demand waiting to deploy, suggests a more resilient and less exhausted rally cycle for ETH [1]. The trend is further underscored by the accumulation activity of institutions and large holders. BitMine Immersion Technologies, a publicly traded Bitcoin company, added another 52,475 ETH to its treasury, bringing its holdings to 1.52 million tokens worth $6.6 billion [2]. Simultaneously, two institution-linked wallets accumulated 9,044 ETH each, valued at $38 million [2]. These institutional moves reflect a broader shift in capital allocation as Ethereum continues to be viewed as a utility-rich reserve asset rather than merely a speculative token. Ethereum’s price performance has also been bolstered by recent developments in the market. The cryptocurrency briefly surpassed its 2021 all-time high of $4,878 in early August, marking a significant milestone for the asset. This was supported by a dovish tone from Federal Reserve Chair Jerome Powell, who hinted at potential rate cuts in September, increasing liquidity for risk assets like ETH [6]. Analysts have pointed to growing inflows into Ethereum ETFs as another key driver. These funds attracted $287.60 million in capital on August 21, reversing a four-day outflow trend [6]. Ethereum ETFs now collectively manage over $12.12 billion in assets, reflecting renewed institutional interest. In addition to ETF inflows, corporate adoption of Ethereum has surged. Over the past month, corporate Ethereum treasury firms have acquired roughly $1.6 billion worth of ETH, with major players such as BitMine, SharpLink, and Bit Digital leading the charge [6]. These treasury holdings now total over $29.75 billion, signaling a structural shift in how institutions view and utilize the asset. Traders and analysts are closely watching Ethereum’s performance as it navigates potential price targets and resistance levels. If Ethereum manages a weekly close above $4,600, it could set the stage for a move toward $5,200–$5,500 [7]. Analyst Ted Pillows noted that Ethereum is currently testing $4,360 resistance, and a breakout could push the price toward $4,760 [1]. However, volatility remains a concern, particularly with Powell’s upcoming Jackson Hole speech, which has historically triggered sharp price swings [1]. Despite short-term fluctuations, the broader narrative for Ethereum appears to be strengthening. The cryptocurrency has broken through psychological price barriers, supported by growing institutional participation and favorable macroeconomic conditions. As Bitcoin’s market dominance continues to decline—falling below 60% for the first time in four months—Ether is emerging as a focal point for capital rotation [6]. This trend has been accompanied by a drop in Bitcoin’s price relative to its peak in early August, with BTC currently trading around $114,000 [7]. Analysts suggest that Ethereum’s rally could continue to outpace Bitcoin’s, particularly if institutional adoption and treasury accumulation persist. The combination of favorable macroeconomic conditions, growing ETF inflows, and strategic whale activity positions Ethereum as a key player in the evolving crypto market. While uncertainties remain, the current trajectory points to a potential extension of the ETH rally, with price targets ranging from $5,500 to even $10,000, according to varying analyst forecasts [4]. Source: [1] Why Are Dormant Bitcoin Whales Rotating Into Ethereum ... (https://finance.yahoo.com/news/why-dormant-bitcoin-whales-rotating-233132720.html) [2] Bitcoin Whale Shifts to ETH With $295 Million Long Position (https://cointelegraph.com/news/bitcoin-whale-dumps-btc-for-295m-eth-long-position) [6] ETH Soars To New All-time High On Fed Rate Cut Signal (https://cointelegraph.com/news/eth-hits-new-highs-as-fed-turns-dovish-ether-etf-inflows-resume) [7] Bitcoin whales swap BTC for Ether as trader sees ETH at ... (https://cointelegraph.com/news/bitcoin-whales-swap-btc-for-ether-trader-sees-eth-hitting-5-5k-next)