Crypto whales buy $456M of Ethereum and accelerate rotation away from Bitcoin

For years, the most fervent defenders of bitcoin have shouted “shitcoin” whenever Ethereum is mentioned. But looking at the current buying frenzy, this contempt may just be ideological blindness. Because facts are stubborn: some whales, and not minor ones, are selling well-matured BTC to accumulate ETH at a strategic price. A calculated maneuver, at volume levels that evoke more Wall Street than Discord.

Whales Abandon Bitcoin to Accumulate ETH

Big holders don’t mess around with altcoins. When they move 456 million dollars in Ethereum, as revealed by Arkham on X, something deep is happening. Five of these huge addresses got their ETH from Bitgo, others via Galaxy Digital OTC.

Following that, another giant liquidated 24,000 BTC, or 2.59 billion dollars, to load up the equivalent of 472,920 ETH in spot and 577 million in perpetual long positions on Hyperliquid.

A large part of this looks like a natural rotation, investors cashing in profits made on Bitcoin’s rise and repositioning on other tokens to capture upside potential. Ether in particular benefits from this, as it has strong recognition and good momentum currently.

Nicolai Sondergaard (Nansen)

Even Willy Woo sees a shift: “Flows into ETH now reach 0.9 billion USD per day. That’s approaching BTC incoming volumes.”

Ethereum, Institutions’ Favorite vs Aging Bitcoin

It’s not just about price or hype. Ethereum attracts today for its structure: yield, regulation, innovation. Staking returns 3.8% per year. The Dencun and Pectra hard forks have reduced Layer 2 costs by 90%. And mostly, the SEC reclassified ETH as a utility token.

ETFs like ETHA (BlackRock) or FETH (Fidelity) see more inflows than their BTC equivalents. Ten listed groups now hold ether on their balance sheets, often in staking or via derivatives.

In short: Ethereum checks the boxes for giants seeking yield without sacrificing regulation.

Facts That Shape a New Crypto Landscape

Behind the statements, there are facts. And they all tell the same story: bitcoin is losing ground slowly but surely to an Ethereum that has become a central actor. Whales don’t speculate; they reposition their long-term strategy.

When a whale inactive since 2021 reappears to buy 28 million ETH, it’s not betting on a “shitcoin.” It’s positioning itself on the infrastructure of a future financial system.

Focus on key signals to remember: 

• 24,000 BTC sold by a single investor, converted to ETH spot and long;
• $456M of ETH accumulated by 9 addresses (source: Arkham);
• $30.5 billion collected by ETH ETFs by mid-August 2025;
• Ethereum circulating supply down 29.6% since EIP-1559;
• Ethereum can process 10,000 transactions per second for only $0.08.

In this context, small holders are rarer on the bitcoin side. They are dropping off, and some are withdrawing their positions en masse. This disaffection fuels a worrying observation: BTC is under pressure, not only because of regulators or rates, but due to a gradual shift in confidence. The market shockwave is here, silent but powerful, and it’s ETH that benefits.