- An early Bitcoin wallet rotated tens of thousands of BTC into roughly 886,371 ETH since Aug 20.
- Recent purchases exceed $1B in ETH as analysts caution about a possible September pullback.
The crypto market’s largest rotation this month continued as an early Bitcoin wallet added another tranche of Ether worth over $1 billion. On-chain monitors show that since 20 August the wallet has sold 35,991 BTC and accumulated about 886,371 ETH at an average cross rate near 0.0406 on Hyperliquid.
Wallet tracked by Arkham shows flows consistent with multi-billion-dollar BTC-to-ETH rotation
Transaction activity tied to this address aligns with the sustained shift into Ether reported by market sleuths. While attribution is not formally disclosed, Arkham Intelligence’s public explorer reflects the address activity market participants have been watching to gauge the pace and scale of the rotation.
According to aggregated tallies from on-chain analysts, cumulative ETH purchases since 20 August now exceed $4 billion in dollar terms. The buying has been executed in blocks over several sessions, suggesting a programmatic approach that uses BTC disposals to finance ETH accumulation at a targeted ratio.
Monitors place the running conversion near 0.0406 BTC per ETH, which has kept the ETH leg steady despite spot volatility in both assets.
Since Aug 20, the Bitcoin OG has sold 35,991 $BTC($4.04B) and bought 886,371 $ETH($4.07B) at a 0.0406 rate on #Hyperliquid.
He still holds 49,634 $BTC($5.43B) in 4 wallets. pic.twitter.com/ns7T1zMtAO
— Lookonchain (@lookonchain) September 1, 2025
Market commentators flag near-term correction risk even as ETH strength persists
Strategists and quantitative analysts have highlighted the risk of a midterm pullback in September despite Ethereum’s attempt to challenge prior cycle highs.
One widely followed market analyst suggested Ether could test former all-time-high levels before a retracement later in the month, a pattern that would be consistent with seasonality and recent positioning.
The whale’s latest allocation adds a countervailing force to that caution. Sizeable ETH inflows of this nature can tighten available liquidity on exchanges and influence basis and funding dynamics across derivatives venues.
The activity also feeds through to the ETH-BTC cross, where methodical accumulation at a fixed ratio can anchor relative performance in the near term. However, if risk conditions deteriorate or if the program pauses, basis could compress quickly and amplify downside moves that commentators have warned about for September.
Now that Ethereum has run the prior All Time Highs in August, I think ETH will drop back to its 21W EMA.
A lot of people will get upset with this idea, but this has been the plan since ETH went home in April (new ATH, then pullback to 21W EMA and find support). https://t.co/WLPBK3mHJ3 pic.twitter.com/2AalzbsMdb
— Benjamin Cowen (@intocryptoverse) September 1, 2025
For now, market participants are tracking two variables. First is the cadence of additional BTC sales by the wallet and any corresponding ETH purchases, which will indicate whether the rotation remains active.
Second is whether Ether’s approach to prior peaks triggers systematic profit-taking by short-term holders or prompts options sellers to adjust hedges. Both factors will shape how durable the recent relative bid for Ether proves to be as the calendar advances through September.
At the time of press, Ethereum (ETH) was trading at $4,391.67, down $9.23, representing a –0.21% decline from the previous day’s close. Its intraday high reached $4,486.85, while the low bottomed at $4,236.58.
