Whale Redeployment Signals Market Sentiment
A prominent Bitcoin whale, holding over $5 billion worth of BTC, executed a $1 billion purchase of ETH through the Hyperliquid spot market. This follows an earlier $2.5 billion Ethereum acquisition, indicating a strategic pivot from Bitcoin to Ethereum by a major market participant.
Blockchain intelligence firm Arkham Intelligence reports that the whale initially reactivated in early August with substantial ETH buys. The latest trade of $1 billion in ETH represents the largest single spot purchase in this sequence, reinforcing expectations of continued institutional and large-holder interest in Ethereum.
Institutional inflows into US spot Ether ETFs have surpassed $4 billion this month, reflecting heightened demand for regulated digital asset exposure. Major treasury holders such as Bitmine added 190,500 ETH over the period, bringing its total to 1.7 million ETH valued at roughly $7.7 billion.
The rotation of $3.5 billion from BTC to ETH by this whale has coincided with a 14 % increase in ETH price over the past month, even as Bitcoin has experienced modest declines. The supply-tightening effect from large spot and derivatives positions has bolstered ETH price discovery.
Experts suggest that such large-scale reallocation by high-net-worth holders underscores a broader market transition. Ethereum’s advancing DeFi ecosystem, Layer 2 scalability improvements, and growth in Ethereum-based ETFs have enhanced its appeal relative to Bitcoin.
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