Ethereum News Today: Major Crypto Whale Shifts $1.69B from Bitcoin to Ethereum Amid Institutional Trend

A prominent cryptocurrency whale has made a significant strategic shift by divesting a large portion of its Bitcoin holdings and reallocating capital to Ethereum. This move, tracked by blockchain analytics firm Lookonchain, involved the transfer of assets from three interconnected wallets that had held 14,837 BTC—worth $1.69 billion at current valuations—acquired from Binance and HTX over seven years ago. The whale liquidated a portion of these holdings and subsequently moved funds into Ethereum and other altcoins, signaling a growing institutional interest in diversifying away from Bitcoin’s dominance [10].

The whale’s Ethereum accumulation has been particularly aggressive. Through Hyperliquid’s perpetual futures market, the entity has initiated long positions using four wallets. After acquiring 19,794 ETH in the spot market, valued at $85 million, it further transferred $20 million in USDC from the Bitcoin sale proceeds into the exchange, establishing a 6x leveraged Ethereum position. The whale’s total long position in Ethereum now stands at 78,265 ETH, equivalent to $334 million, distributed across five wallets [10].

This shift aligns with broader trends in the crypto market. Institutional players are increasingly buying Ethereum during price corrections, capitalizing on lower valuations as retail investors pull back amid ETF outflows and volatility. This pattern is reinforced by another whale who sold 9,631 ETH at $4,562 earlier in the year but returned to the market to purchase 2,109.5 ETH at $4,096, taking advantage of the pullback [9]. Similar behavior has been observed among other large holders, indicating a coordinated strategy to accumulate Ethereum at discounted levels.

Ethereum’s growing appeal is also reflected in the U.S. government’s recent activities. Authorities have continued to build their Ethereum holdings through enforcement actions, most recently seizing 76.56 ETH—worth approximately $300,000—from a wallet linked to the 2021 Uranium Finance hack. These acquisitions add to the government’s existing portfolio of digital assets and may influence market sentiment depending on whether they choose to sell or accumulate further [2].

Analysts remain divided on Ethereum’s near-term price direction. While the asset faces downward pressure due to ETF outflows, some market commentators, including Tom Lee, anticipate a potential rebound if Ethereum corrects to $4,075, with a target of $5,100 if the market stabilizes [7]. Such projections highlight the divergence between short-term volatility and long-term institutional optimism.

The broader implications of these developments suggest a structural shift in the crypto market. As major players continue to increase their Ethereum exposure, they may help stabilize price swings traditionally driven by retail speculation. However, the market remains sensitive to regulatory changes and macroeconomic factors that can quickly alter investor behavior [1].

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Source:

[1] Ethereum Try To Break $4.3K as ETF Outflows Accelerate, https://coincentral.com/ethereum-price-prediction-ethereum-try-to-break-4-3k-as-etf-outflows-accelerate-investors-are-reallocating-to-rtx/

[2] U.S. Government Seizes $300000 in Hacked Ethereum via ..., https://www.ainvest.com/news/ethereum-news-today-government-seizes-300-000-hacked-ethereum-coinbase-2508/

[7] He spent billions to buy Ethereum, saying that 4000 is the ..., https://www.chaincatcher.com/en/article/2199017

[9] Radiant Capital Hacker Buys Back 2109.5 ETH at $4096 ..., https://blockchain.news/flashnews/radiant-capital-hacker-buys-back-2-109-5-eth-at-4-096-after-selling-9-631-eth-at-4-562-trader-focused-on-chain-update

[10] A whale who held BTC for 7 years sold about $235 million ..., https://www.panewslab.com/en/articles/106931a3-96e8-4815-9c90-1d33e671fbf4