Bitcoin Whales Drive $1.28B Shift to Ether as ETH Nears $5.5K

12 hours ago

Newsroom

Why are Bitcoin whales shifting their investments to Ethereum?

Is Ethereum going to hit $5,500 soon?

How might the Ethereum market be impacted by these massive whale investments?

Bitcoin Whales Drive $1.28B Shift to Ether as ETH Nears $5.5K — Image source: Unblock Media

Bitcoin whales convert BTC holdings into ETH, driving Ether's rally.
Federal Reserve signals on rate cuts boost broader crypto momentum.

On August 24, 2025 (UTC), Cointelegraph reported a significant shift in cryptocurrency market dynamics, with Bitcoin whales converting $1.28 billion worth of BTC holdings into Ether (ETH). This whale activity played a pivotal role in pushing Ether’s price to record-breaking levels, redirecting market focus toward the second-largest cryptocurrency by market capitalization.

The surge in Ether’s price closely followed remarks made by Federal Reserve Chair Jerome Powell during the annual Jackson Hole economic symposium. Powell’s indications of potential interest rate cuts sparked a broader rally across risk assets. Ether emerged as a top performer, benefiting from a renewed wave of optimism in the macroeconomic landscape.

Crypto intelligence firm Arkham highlighted a pattern of aggressive conversions within long-dormant Bitcoin wallets, further fueling Ether’s upward momentum even after its substantial rally. Analysts view this behavior as a signal of long-term confidence in Ether’s potential. Some traders are now targeting price levels between $5,200 and $5,500, reflecting strong bullish sentiment.

In contrast, Bitcoin exhibited less dramatic movements and consolidated around the $114,000 level following a brief surge to $117,500 triggered by Powell’s comments. By Sunday, Bitcoin was trading at approximately $114,627, maintaining relative stability as market attention shifted more decisively toward Ether.

Market participants are closely analyzing Ether’s trajectory, taking into account the combined influence of whale activity and macroeconomic trends. This strategic reallocation from Bitcoin to Ether aligns with mounting expectations of sustained momentum for ETH, bolstered by institutional interest and a generally optimistic market outlook.

As of August 24, 2025, 16:11 UTC, Bitcoin (BTC) was trading at $114,393.78, reflecting a 0.3% decrease in 24-hour trading volume, according to CoinMarketCap. Ethereum (ETH), meanwhile, was trading at $4,810.96 as of 16:12 UTC, registering a 1.26% increase in 24-hour trading volume.