Top Whale Moves: $47M BTC Gains, $33M ETH Liquidation Amid ETF Turbulence

Grayscale Investments has filed with the U.S. Securities and Exchange Commission (SEC) to enable options trading on its CoinDesk Crypto 5 ETF (GDLC), which holds Bitcoin, Ethereum, XRP, Solana, and Cardano according to reports. The NYSE American proposed rule change seeks approval for physically settled, American-style options on the ETF. The move aligns with growing demand for derivatives on crypto-backed exchange-traded products. At the same time, Bitcoin and Ethereum prices remained under pressure amid ETF outflows and macroeconomic uncertainty as data shows.

Large on-chain whale movements have intensified market attention. One Bitcoin whale, identified as 'BTC OG Insider Whale,' holds unrealized gains of $47 million in BTC. In contrast, a major Ethereum whale, 'pension-usdt.eth,' has seen a liquidation of approximately $33 million in ETH longs according to reports. These positions highlight the volatile nature of leveraged trading in crypto markets.

Ethereum ETF outflows have intensified, with a net outflow of 58,467 ETH on January 14 alone. This comes after several weeks of declining inflows and increased redemptions. Analysts suggest this trend reflects cautious positioning among institutional investors. The broader market has responded with declining prices for Ethereum and XRP according to market data.

Why Did This Happen?

The Grayscale CoinDesk Crypto 5 ETF consists of Bitcoin (75.20%), Ethereum (15.69%), XRP (5.41%), Solana (3.09%), and Cardano (0.61%). If approved, it would be one of the first multi-asset crypto ETFs in the U.S. to offer options trading. The proposal mirrors similar options on the BlackRock Bitcoin ETF (IBIT), which were already approved by the SEC according to reports.

The recent Ethereum ETF outflows reflect a shift in investor behavior. Traders appear to be rotating capital into smaller, high-conviction plays such as Remittix (RTX), a payments-focused DeFi project. Ethereum ETFs have become a barometer of sentiment, with redemptions often signaling a pullback in speculative activity as data shows.

What Are Analysts Watching Next?

Market analysts are closely monitoring several whale positions and leveraged trades. For example, Machi Big Brother, a well-known crypto whale, recently opened a $34 million leveraged Ethereum long on Hyperliquid. The position is highly leveraged, with less than $2 million in margin backing the trade. A small drop in ETH price could trigger a liquidation according to reports.

Whale activity has shown mixed signals. While some whales are building large leveraged positions, others are locking in gains. For example, SharpLink Gaming (SBET) has fully committed to Ethereum staking, receiving $33 million in staking rewards over the past seven months. These actions have been seen as bullish for Ethereum's long-term price potential according to analysis.

The broader market environment remains fragile. ETH is currently trading near the $3,000–$3,100 range, with key resistance at $3,300. Staking activity continues to lock up large amounts of ETH, reducing circulating supply and increasing market tightness. Meanwhile, Bitcoin ETF outflows have also accelerated, with a net outflow of 3,826 BTC on January 14 according to market data.

Investors are also watching for regulatory clarity on options trading for multi-asset crypto ETFs. If Grayscale's proposal is approved, it could increase market liquidity and attract institutional capital. Analysts suggest the move would bring crypto markets closer to mainstream adoption according to reports.