A $3.8 Billion Ethereum Bet
A long-time Bitcoin whale, often referred to as a “Bitcoin OG,” has been rotating its massive crypto fortune into Ethereum, signaling a new wave of diversification among top investors. Onchain data shows the whale now holds $3.8 billion worth of ETH after an aggressive 12-hour buying spree over the weekend.
The whale sold 4,000 Bitcoin—worth roughly $435 million at current prices—and exchanged it for 96,859 spot Ether, according to blockchain tracker Lookonchain. This move follows a strategy first spotted in late August, when the whale began shifting out of its $11.4 billion Bitcoin holdings.
By Monday, the investor had also deposited another 1,000 BTC into decentralized exchange Hyperliquid, fueling speculation that more Ethereum purchases could follow.
Why Bitcoin Whales Are Buying Ether
Analysts say this type of whale activity reflects a maturing crypto market. Historically, large investors rotate capital from Bitcoin into Ethereum before spreading into other altcoins.
Henrik Andersson, CIO of Apollo Crypto, told Cointelegraph that regulatory progress in the US is helping drive confidence. “After the GENIUS bill and pro-US regulations, there is more gravity behind some altcoins, especially Ethereum, and it could be some whales choosing to diversify in light of the positive backdrop,” he explained.
The GENIUS Act, signed into law in July, is the first federal regulation targeting stablecoins in the US. Since then, Ether has gained momentum, briefly hitting a new all-time high of $4,946 on Aug. 24 before settling around $4,389.
Ethereum’s Edge Over Bitcoin
While Bitcoin has been moving sideways in recent months, Ethereum has seen stronger momentum, especially with ETF inflows favoring ETH in August. Many analysts believe this trend could continue as Ethereum cements itself as more than just a speculative asset.
Ryan McMillin, CIO of Merkle Tree Capital, noted that for veteran Bitcoin holders, ETH offers different benefits. “Bitcoin is viewed as digital gold, while Ether provides yield through staking and exposure to the broader smart contract economy,” he said.
Beyond Ethereum: The Altcoin Effect
Not every whale is moving out of Bitcoin, but some are signaling that ETH has become a core holding rather than a side bet. Analysts also suggest that if the Ethereum rotation gathers momentum, other altcoins like Solana could benefit next.
McMillin added, “If the ETH rotation gathers momentum, it wouldn’t be surprising to see flows extend into Solana, given its traction in consumer apps and DeFi.”
A Multi-Asset Crypto Market
This shift highlights a key moment in crypto’s evolution: digital assets are no longer a one-horse race dominated by Bitcoin. With Ethereum offering staking, smart contract utility, and institutional interest, whales diversifying into ETH underscores a more mature, multi-protocol ecosystem.
