Key Insights
- A Bitcoin OG recently sold 3,968 BTC worth $437 million and bought 96,531 ETH worth $443 million.
- So far, the whale has accumulated 641,508 ETH worth $2.94 billion in just seven days.
- This massive ETH rotation shows confidence in Ethereum’s growth compared to Bitcoin.
A Bitcoin whale has made a massive splash this week, after rotating billions of dollars from Bitcoin into Ethereum. Lookonchain’s on-chain tracking shows that this early Bitcoin holder sold thousands of BTC.
It also bought massive amounts of ETH in spot markets. This move indicates confidence is shifting, and Ethereum is becoming the whales’ preferred asset.
The Whale’s $437 Million BTC Sale and ETH Spot Buying
Lookonchain reported that the whale sold 3,968 BTC, worth around $437 Million over the past 14 hours. They then spent these proceeds on 96,531 ETH in spot markets, worth $443 Million. This wasn’t just a short-term trade. Instead, it was part of a longer trend of accumulation.
Within one week, the whale has accumulated 641,508 ETH, valued at $2.94 billion. This scale of buying shows how these large holders can affect liquidity and sentiment across the crypto space.
Why the Bitcoin Whale Rotated Into Ethereum
This whale’s switch from leveraged ETH longs into spot holdings. This shows that they are cautious yet confident in Ethereum’s future. The whale closed a long position of 96,452 ETH for a $2.6 million profit and immediately bought ETH spot.
This indicates that they are attempting to reduce risk exposure while keeping a strong foothold in Ethereum. Ethereum has upcoming upgrades, and vigorous developer activity may have influenced the whale’s decision.
The buying suggests Ethereum’s market position may grow stronger. Rising demand across DeFi platforms is a key driver. Its role as a “store of value” could further boost momentum.
Trading Activity and Market Reactions
According to Lookonchain, the transactions spread across major exchanges. This is one of the reasons for the spikes in ETH trading volume. The ETH/BTC and ETH/USDT pairs saw short bursts of activity. Bitcoin prices dipped by 1–2% during the whale’s selling.
Over the seven-day accumulation period, the whale’s average entry price for ETH has hovered near $4,580. If ETH pushes beyond $5,000, the investor will rake in massive profits.
Traders are already watching ETH support at $2,500 and resistance near $3,000. This is because these could become major zones as the market continues further down the line.
Bitcoin Under Pressure
While the Ethereum rotation has been a primary source of attention, Bitcoin’s price is currently struggling. The asset trades around $112,779, just above the 200-period moving average.
This means that BTC fails to reclaim resistance between $116,000 and $117,000; the struggle could worsen.
According to analysts like Willy Woo, this kind of whale activity might be why Bitcoin is going through this weak phase. The cryptocurrency dropped by nearly 2.2% within minutes last Sunday. This shows how fast markets can react to such moves.
What This Means for Traders
The whale rotation into Ethereum shows several things. First, retail traders may view the $2.94 billion accumulation as a bullish sign for ETH in the medium term. Swing traders could focus on ETH dips and set stop losses below $2,400 to manage risks.
Bitcoin, on the other hand, is still standing on shaky ground. It is consolidating near primary levels, and for ETH, market players should monitor things like on-chain flows and whale wallets. If this accumulation trend continues, it could strengthen Ethereum as the go-to asset for upcoming cycles.
Finally, the Bitcoin whale has accumulated $2.94 billion worth of ETH. This event could influence things like trading patterns and market sentiment.
