Lookonchain, a prominent blockchain data analysis platform, has reported a noteworthy development: a long-term Bitcoin investor, active for seven years, is significantly increasing their investment in Ethereum. This shift occurs amidst a general downturn in the cryptocurrency market, impacting both ETH and BTC.
Major Bitcoin Holder Liquidates $76 Million in BTC to Acquire Ethereum
According to a post on X by Lookonchain, a seasoned Bitcoin participant, possessing 14,837 BTC (valued at approximately $1.69 billion), recently sold 670.1 BTC (around $76 million). The investor then used these funds to establish substantial long positions in Ethereum, accumulating 68,130 ETH, which equals about $295 million. This strategic move involved depositing the $76 million worth of BTC onto the Hyperliquid exchange, selling the Bitcoin, and subsequently initiating long positions in ETH across four separate wallets, reaching a total of 68,130 ETH.
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This particular Bitcoin whale originally acquired 14,837 BTC seven years ago, a holding then valued at $107.5 million, sourced from exchanges like HTX and Binance when Bitcoin’s price was $7,242. This recent activity suggests a potential pivot in investment strategy towards Ethereum, as the investor apparently foresees substantial growth potential for the leading altcoin.
Furthermore, in a separate update on X, Lookonchain observed that the Bitcoin whale initially adopted a cautious approach with their Ethereum investments, closing out the initial long positions and transitioning to buying ETH on the spot market. As part of this process, they deposited an additional 1,000 BTC (worth roughly $113.95 million) into Hyperliquid to purchase ETH, acquiring 19,794 ETH (approximately $85 million).
The Bitcoin OG subsequently resumed leveraged trading with Ethereum, establishing a new wallet and depositing $20 million in USDC to open long positions on ETH with 6x leverage. This increased the whale’s total Ethereum holdings to 78,265 ETH, valued at approximately $334 million, distributed across five different wallets.
Continued Ethereum Purchases by the Bitcoin Investor
The Bitcoin investor is demonstrably reinforcing their belief in Ethereum’s potential. Over the preceding two days, the whale has divested 3,142 BTC (approximately $356.47 million) and has purchased 55,039 ETH (around $237 million) through spot market transactions, while also establishing a long position of 135,265 ETH (valued at approximately $577 million). Data from Hyperliquid indicates that three of the five long positions are currently showing profits, with the largest experiencing an unrealized gain exceeding $2 million.
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Lookonchain also identified another long-term Bitcoin holder who deposited BTC into Hyperliquid for the purpose of selling it and buying ETH. On-chain data reveals that this whale received 85,947 BTC (worth approximately $547 million) seven years ago, similar to the previously mentioned Bitcoin OG. This led the blockchain analysis platform to speculate that it could be the same investor. Another whale also recently established a new wallet and withdrew 11,950 ETH (valued at around $51.32 million) from Binance.
At the time of this report, the price of Ethereum is fluctuating around $4,280, reflecting a decrease over the last 24 hours, according to data provided by CoinMarketCap.
Featured image from Pixabay, chart from Tradingview.com