Massive Whale Rotation from Bitcoin to ETH
A long-time Bitcoin whale, often referred to as a “Bitcoin OG,” has made a major move into Ethereum, signaling a shift in market sentiment.
According to on-chain data from Lookonchain, the whale sold 4,000 BTC (worth $435 million) and bought 96,859 Ether (ETH) during a 12-hour buying spree over the weekend. This brings the whale’s Ethereum holdings to $3.8 billion, while their Bitcoin stash is still significant, totaling 100,784 BTC (valued at $11.4 billion).
Why Are Whales Diversifying into ETH?
Analysts interpret this rotation as a sign of market maturity. Historically, capital has flowed from Bitcoin Ethereum Altcoins during bullish phases. The shift aligns with regulatory clarity in the US, particularly after the GENIUS Act—the first federal law focused exclusively on stablecoins—was signed in July.
Henrik Andersson, CIO of Apollo Crypto, noted:
“There’s more gravity behind altcoins like Ethereum after pro-US regulations. Whales are likely diversifying due to the positive backdrop.”
Ethereum’s Strong Momentum
Ethereum has been outperforming Bitcoin in recent weeks, reaching an all-time high of $4,946 on Aug. 24 before correcting slightly to $4,389.
ETF inflows in August heavily favored Ethereum, reinforcing the view that ETH has become a core asset, not just a speculative play.
According to Ryan McMillin, CIO of Merkle Tree Capital:
“This is not about abandoning Bitcoin. OG whales see Bitcoin as digital gold, but ETH offers yield through staking and broader exposure to smart contract ecosystems.”
Experts suggest that if this ETH rotation continues, it could spark capital inflows into other altcoins, such as Solana (SOL), potentially triggering a classic altseason rotation.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.