Gate on-chain observation ( August 26, ): ETH leveraged position surged, ancient BTC whales frequently adjusted their positions, and market risk aversion sentiment intensified.

In the past 24 hours, the on-chain capital flow has been highly active. ETH long and short positions are continuously increasing, and leverage risk is rising rapidly; BTC ancient Whales are frequently taking action, leading to fluctuations in chip concentration; DeFi hot tokens and cross-chain assets are also showing divergent trends. Overall, institutional strategies are still primarily focused on Arbitrage and Hedging, market sentiment remains cautious, and on-chain Liquidity and price expectations have entered a sensitive stage.

From 1 AM on August 26th until the time of writing, on-chain monitoring data shows that the crypto market continues to fluctuate amidst high volatility, with multiple large fund repositioning operations attracting market attention:

• HYPE Whale has repeatedly sold large amounts and transferred to the contract market to increase ETH long position;
• Abraxas Capital continues to engage in liquidity staking and arbitrage operations, maintaining an overall Delta neutral strategy;
• Multiple whales are positioning leveraged positions on platforms such as Hyperliquid and Kinetiq;
• Ancient BTC whales are moving funds between multiple exchanges, indicating signs of loosening chip structure.

As funds concentrate on major assets such as ETH and BTC, the chips of emerging tokens HYPE and LINK are also accelerating their transfer, leading the overall market into a cautious gaming period. Below is the latest on-chain capital movement and market analysis as of August 26.

HYPE ecosystem fund dynamics

1. Large-scale Selling and Hedging Operations Last week, a newly established mysterious wallet that invested 40 million USD to buy HYPE sold 186,000 HYPE (approximately 8.6 million USD) again and used the proceeds in USDC to go long on the contract market, establishing a long position of 27,236 ETH (126 million USD). Sell orders are executed in batches, with each batch consisting of 11,000 HYPE. Each sale is approximately 500,000 USD, reflecting a refined risk hedging approach. 2. Abraxas Capital Actions Transfer 410,000 HYPE (18.5 million USD) to HyperEVM and complete liquidity staking on Kinetiq. During the same period, 25,600 PT-kHYPE (1.1 million USD) were bought, accumulating a total of 120,900 PT-kHYPE (5.4 million USD) over four days, with a total position of 146,500 PT-kHYPE (6.5 million USD). The strategy is completely Delta neutral, with profits coming from the interest spread and incentives. 3. Whale Large Position Reduction Address 0xa523 sold 886,000 HYPE (39.66 million USD) and 1.63 million Fartcoin (1.27 million USD), incurring a loss of 1.14 million USD before opening a 15x leverage long position in ETH, with a position size of 226.7 million USD, currently facing a floating loss of over 13 million USD.

Analysis: The HYPE market has sufficient liquidity, with short-term fluctuations being intense, but institutions and arbitrage funds tend to adopt a neutral strategy, indicating that this asset remains the main battleground for arbitrage amidst the fluctuations.

ETH market dynamics

1. Whale Hedging and Bottom Fishing A whale deposited 6.69 million dollars on Hyperliquid, opening a Short Position for ETH with 3x leverage while simultaneously buying 889.3 ETH (39 million dollars) in spot. OTC Whale 0xd8d0 took action during the market correction, spending 99.03 million USDC to purchase 10,000 ETH (43.67 million USD) and 500 BTC (54.99 million USD). Bitmine increased its holdings by 4,871 ETH (21.28 million USD) through FalconX. 2. High-Risk Leverage Position "125,000 US dollars rolling position long ETH" Whale position has increased several times, currently holding 536 ETH (2.37 million US dollars), still floating loss of 69,000 US dollars; Address 0xa523 holds a high-leverage long position of 51,691 ETH (approximately 226.7 million USD), with a liquidation price of 4,075.7 USD, posing a significant risk exposure. 3. Ancient Whale Movements The ancient whale staked 269,485 ETH to the beacon chain last night for BTC-ETH, with a remaining position of 4,700 ETH and a floating profit of 650,000 USD. Last night, I took profit on 4 ETH Long Positions, earning $49.45 million, indicating that large funds are actively cashing out profits.

Analysis: The main funds in the ETH market are clearly differentiated. On one hand, whales are significantly increasing their positions or staking, while on the other hand, some high-leverage funds are on the brink of liquidation. Fluctuations are intensifying, but staking on the Beacon Chain continues to accumulate.

BTC Market Dynamics

1. Ancient Whale Liquidation A BTC whale that has been dormant for 5 years transferred 2,221 BTC (approximately 245 million USD) 5 hours ago, originating from coins hoarded in 2013, with profits exceeding 1,265 times. 2. Off-chain and on-chain capital behavior A BTC whale increased its position by 200 BTC ($22.4 million) through FalconX 13 hours ago, with a current total position of 2,419 BTC ($265.9 million). Another new wallet withdrew 32.9 million DOGE ($6.96 million) from mainstream CEX 16 hours ago, which may signal the allocation of cross-chain arbitrage funds. OTC trading whale 0xd8d0 increases position by 500 coins (54.99 million USD), showing strong support below.

Analysis: BTC on-chain funds show significant differentiation, with ancient coins unlocking and large purchases occurring simultaneously. Short-term fluctuations are expected to increase, but long-term funds are still actively positioning.

Other Token Dynamics

LINK: After accumulating 1.294 million LINK since August 15, the Whale has just deposited all tokens to mainstream CEX, with a paper loss of 570,000 USD, which may indicate short-term selling pressure. WLFI: Since its launch at midnight, 6.55 billion WLFI (6.55% Liquidity) have been locked, worth approximately 1.5 billion USD, and the transfers for TOP1 and TOP8 holders have been completed. WBTC: "Smart Money" sold 15 WBTC ($1.68 million) 8 hours ago and has almost cleared its Position.

Analysis: On-chain lock-up and token liquidity paths have become a barometer of market confidence. The rapid increase in WLFI lock-up scale shows that whales have a high level of trust in the project.

Market Overview and Trend Analysis

1. Rise in volatility: The on-chain capital game between ETH and BTC is intense, with large leveraged positions in a high-risk state, and short-term fluctuations are expected to continue.
2. Structural layout emerges: Ancient whales stake ETH, institutional funds increase their holdings in BTC and ETH spot, indicating that long-term bullish confidence remains intact.
3. Arbitrage funds dominate the HYPE ecosystem: Arbitrage and liquidity strategy funds continuously allocate to HYPE related assets, making HYPE the main venue for institutional arbitrage.
4. The liquidity concentration has increased: WLFI's short-term lock-up exceeds 6.5%, and leading projects continue to attract funds, with clear trends in market hedging and concentration.