Ethereum: Decoding Fidelity’s mysterious $499. 55M ETH transfer - AMBCrypto
Ethereum faced renewed downside volatility after failing to hold the $1. 9K support level. The altcoin subsequently fell to $1,848, a level last seen two weeks ago. At press time, ETH traded near $1,865, down. . .
Ethereum faced renewed downside volatility after failing to hold the $1. 9K support level. The altcoin subsequently fell to $1,848, a level last seen two weeks ago. At press time, ETH traded near $1,865, down 1. 9% daily. Although Ethereum’s upside momentum remained weak, institutional activity suggested that some large investors were still optimistic. Why did Fidelity move $499M in ETH?According toOnchain Lens, Fidelity-linked walletsmoved 260,000 ETH, worth $499. 55 million, into three wallets. These receiving wallets were funded six months ago. Source: XHowever, the transfers did not indicate an intention to sell. Instead, the movement suggested internal custody rebalancing. Such transfers often attract market attention but generally have a neutral effect on prices. Is Bitmine still buying Ethereum?While Ethereum remained in a prolonged downtrend, several treasury companies halted accumulation or reduced their holdings. For example, SharpLink Gaming, the second-largest corporate holder, had not purchased ETH since October 2025. The company reduced its exposure as unrealized losses exceeded $1. 4 billion. By contrast, Bitmine continued accumulating. According toOnchain Lens, a Bitmine-linked walletpurchased 10,460 ETH, worth $19. 48 million, through Falcon. The entity subsequently held 5. 5 million ETH, valued at approximately $10. 3 billion. Source: CoinGlassThat demand coincided with persistent exchange outflows. Ethereum’s [ETH]Exchange Netflow remained negative for six consecutive days. At press time, Exchange Netflow stood near -3,200 ETH, indicating continued withdrawals from trading platforms. Source: CryptoQuantThe last similar outflow period occurred in early July. ETH then climbed from $1. 7K to $1. 9K. If demand persists, Ethereum could recover from its latest decline. Can ETH recover in August?Despite declining exchange supply, Ethereum’s short-term momentum remained weak. ETH traded below its 20-day Moving Average, while the MACD-SMA indicator reflected continued seller control. The Bulls v Bears indicator also formed a bearish crossover, reinforcing the possibility of further short-term pressure. Source: TradingViewIf this weakness persists, ETH could fall below $1. 8K, placing the next support level near $1,750. However, ETH remained above its 200-day Moving Average. This suggested that the broader market structure was still bullish. Sustained demand from Bitmine could help ETH defend its 50-day Moving Average and reclaim its 20-day Moving Average. Under that scenario, Ethereum could retest $1,950 before targeting a move above $2,000. Final SummaryFidelity-linked wallets transferred $499. 55 million in ETH, likely reflecting internal custody rebalancing. Bitmine accumulated another $19. 48 million despite Ethereum’s prolonged price decline.