Bitcoin (BTC) failed to capitalize on the rally it experienced on Friday following Fed Chair Jermoe Powell’s subdued speech in Jackson Hole. That rally reversed over the weekend, with the price falling to $112,000.
While the upward trend in BTC weakened, Ethereum (ETH) reached a new ATH over the weekend, and it is stated that giant whales are behind this rise in ETH.
At this point, analysts said that Bitcoin OG whales are selling BTC and buying ETH, which is shifting capital to Ethereum and creating volatility in the market.
WhaleWire CEO Jacob King said Bitcoin’s price crashed due to whale selling.
According to Jacob King, the drop Bitcoin (BTC) experienced earlier today was triggered by a single whale selling over 24,000 BTC to buy Ethereum (ETH).
The analyst stated in his post that he sold more than 24,000 BTC, including BTC that he had not moved for more than five years, and sent more than 12,000 BTC to the Hyperunite platform today alone.
The analyst noted that this was part of a broader sell-off that has already seen 18,000 BTC ($2 billion) sold, with most of the money moving into Ethereum. According to the analyst, $2 billion was bought and $1.3 billion was staked.
According to Lookonchain’s post, the Bitcoin OG whale, who bought 100,784 BTC (worth $642 million at the time, now $11.4 billion) 7 years ago, is frantically swapping his BTCs for Ethereum.
Accordingly, over the last five days, the giant whale deposited 22,769 BTC ($2.59 billion) into Hyperliquid for sale. With this money, he purchased 472,920 ETH ($2.22 billion) from the spot market and opened a 135,265 ETH ($577 million) long position.
No Single Whale Can Be Responsible for Bitcoin’s Decline!
However, speaking to The Block, Kronos Research CIO Vincent Liu said that it is difficult to pinpoint a single culprit for the Bitcoin price drop.
“Bitcoin’s rise after Powell’s speech was driven by a lack of liquidity, not by any lasting belief.
Once the leverage was unwound, momentum quickly faded and BTC fell below key levels again.
“Furthermore, the drop is more likely to be the work of multiple whales or an exchange with a significant stake, rather than a single individual. Large-scale transactions like the recent drop typically require institutional investors or coordinated action.”
Liu also highlighted the growing interest in Ethereum, saying, “With Ethereum ETF staking approval on the horizon, expect ETH performance to further improve with increased staking activity and a potential altcoin season. Ethereum is expected to take center stage.”
*This is not investment advice.
