FED Chairman Jerome Powell's moderate speech in Jackson Hole failed to sustain its gains. This rise reversed over the weekend, with BTC prices dropping to around $112,000.
While the upward trend in BTC is weakening, Ethereum (ETH) reached a new ATH over the weekend, and it is reported that major whales are behind this surge in ETH.
At this point, analysts said that Bitcoin OG whales are selling BTC to buy ETH, which shifts capital to Ethereum and creates volatility in the market.
WhaleWire CEO Jacob King stated that Bitcoin experienced a sudden drop due to whale sales.
According to Jacob King, the drop in Bitcoin (BTC) earlier today was triggered by a single whale selling more than 24,000 BTC to purchase Ethereum (ETH).
The analyst noted in his post that he sold more than 24,000 BTC, including BTC that had not been moved for over five years, and sent more than 12,000 BTC to the Hyperunite platform just today.
The analyst stated that this is part of a broader wave of selling that has already sold 18,000 BTC ($2 billion), with most of the money being shifted to Ethereum. According to the analyst, $2 billion was purchased and $1.3 billion was staked.
According to Lookonchain's share, a Bitcoin OG whale that bought 100,784 BTC (worth $642 million at the time, now $11.4 billion) 7 years ago is frantically exchanging the BTC it holds for Ethereum.
Accordingly, the giant whale deposited 22,769 BTC ($2.59 billion) into Hyperliquid for sale in the last 5 days. With the funds, he purchased 472,920 ETH ($2.22 billion) from spot and opened a long position of 135,265 ETH ($577 million).
A Single Whale Cannot Be Responsible for the Drop in Bitcoin!
However, Vincent Liu, CIO of Kronos Research, speaking to The Block, said it is difficult to pinpoint a single culprit for the decline in Bitcoin prices.
"The rise of Bitcoin after Powell's speech was not due to a sustained belief, but rather a lack of liquidity.
As leverage was unwound, momentum quickly diminished, and BTC fell below key levels again.
Furthermore, it is more likely that the drop is the result of multiple whales or an exchange with a significant amount of stock rather than a single individual. Large-scale transactions like the recent drop often require institutional investors or coordinated actions."
Liu, drawing attention to the growing interest in Ethereum, stated, "As Ethereum ETF staking approval looms on the horizon, expect an increase in staking activities and a potential altcoin season that could further enhance ETH performance. Ethereum is expected to take the stage."
Stay tuned for current developments.
