Gate on-chain observation ( on October 9, ): Grayscale Ethereum ETF adds $3.88 billion in stake; CEX Meme ecosystem sparks "short-term wealth effect"

In the past 24 hours, the flow of funds on-chain in the crypto market has significantly intensified, with frequent activities from institutions and Whales. Ethereum (ETH) has become the focal asset, as the two Spot ETFs managed by Grayscale continue to increase their staking, maintaining institutional confidence; Bitcoin (BTC) funds are concentrated in newly created large addresses and potential institutional account withdrawals; meanwhile, the Meme zone of the leading CEX ecosystem has sparked a new wave of short-term capital frenzy, with some traders and Whales experiencing drastic profits and losses in a short period. Overall, there is a clear stratification of mainstream assets and high-risk capital, with on-chain activity reaching a near-high for the past few weeks. Below are the important on-chain dynamics from October 8 to October 9:

ETH Market Dynamics: Grayscale ETF staking scale hits a new high, long-term funds accelerate lock-up.

· Grayscale's two Ethereum Spot ETFs have added 857,600 ETH (approximately 3.88 billion USD) in staking, bringing the total staked since approval to 1,161,600 ETH. Analysts point out that this trend indicates that institutions are shifting towards staking strategies to lock in long-term returns amid volatility in the secondary market, thereby reinforcing ETH's status as a "productive asset."

· Meanwhile, a veteran Whale that acquired 9705 ETH at an average price of 3648.7 dollars 5 years ago has reportedly sold 8450 ETH (approximately 37.98 million dollars) in the past three weeks, making a profit of about 7.14 million dollars. This Address has again deposited 1000 ETH to a CEX, reducing its balance to only 507 coins.

Analysis: Continuous staking of ETF and profit realization by Whale form a structural hedge, indicating that ETH capital flow presents a "two-way game." Long-term locking behavior reinforces the expectation of spot scarcity, but short-term selling pressure may lead to amplified volatility. Overall, the trend of institutional holding still supports the long-term value logic of ETH.

BTC market dynamics: Large withdrawal actions are frequent, institutional accounts may be reorganizing positions.

· A newly created Address withdrew 1000 BTC (approximately 121.98 million USD) from CEX, making it one of the largest on-chain transfers of BTC this week.

Additionally, some wallets that had been dormant for months have become active again, indicating that high-net-worth accounts are readjusting their position structures after BTC reached an all-time high.

· From the perspective of capital behavior, BTC funds still tend to be concentrated in cold wallets and institutional accounts, indicating that the confidence of long-term holders remains unchanged.

Analysis: Large BTC withdrawals often indicate that assets are entering a long-term reserve or institutional allocation phase. In the short term, BTC may continue to be affected by macro fluctuations and ETF rebalancing, but the scale of outflows on-chain suggests that major funds prefer to hold coins as a hedge.

Meme coin market: Leading CEX ecosystem sparks "short-term wealth effect", Whales and high-frequency traders engage in fierce competition

· Less than 1 hour after the launch of the Meme Rush platform under the leading CEX, 13 wallets have already made a total profit of over 1 million dollars through BNBHolder trading.

· Among them, the address "0x94...eaa1c" purchased 41.11 million BNBHolder with 4 BNB, sold it 40 minutes later for a profit of 2.15 million USD, and still holds remaining tokens worth 900,000 USD.

· At the same time, a Whale invested 3,475 BNB (approximately 4.54 million USD) to buy various popular Meme coins on BSC, including "PUP" and "Haqimi", currently facing a floating loss of about 1.2 million USD.

· Another trader has staked nearly $4.5 million on Chinese Meme coins within 24 hours, currently facing an unrealized loss of $1.37 million.

Analysis: The Meme zone shows significant high-frequency capital inflows and outflows, with both short-term high profits and severe pullbacks coexisting. Funds are concentrated in the leading CEX ecological chain, reflecting that retail investors and Whales have increased market activity in the "short-term game," but the high-risk attributes are evident.

Institutional and Whale Fund Movements: Smart Money Frequently Engages in Swing Trading, HYPE Short Positions Continue to Increase.

· Address 0x880a continues to increase the position in HYPE main short order, while also increasing the position in HYPE subsidiary long order within the range, and establishing base short positions in MNT, WLD, PENGU, ENA. The current total position is 148 million USD, with an unrealized loss of 11.4 million USD.

· The trader has achieved a winning rate of 83% in the past week, favoring short-term high-frequency trading strategies with high capital efficiency.

· At the same time, a Whale deposited 4 million USDC into Hyperliquid to open a long position in ZEC with 5x leverage, indicating that some high-net-worth funds are making high-leverage attempts outside of mainstream assets.

· In addition, the CEX hot wallet distributed 50 million PROVE (approximately 41.19 million USD) to 14 new Addresses within 6 hours, with a noticeable increase in the on-chain distribution pace.

Analysis: HYPE short positions coexist with ZEC long positions, reflecting a differentiated layout among institutions; meanwhile, PROVE distribution may indicate the initiation of liquidity building for new projects. Overall, the leading smart money continues to maintain a high-frequency segment strategy to capture local volatility gains.

BSC and Emerging Asset Dynamics: FORM is currently building a large position, ASTER's chips are being transferred or preemptively laid out.

· A new wallet spent 1.935 million USDT within 2 hours, buying 1.326 million FORM at a price of 1.45 USD, indicating that the new project has attracted some early funds.

· In addition, an address that previously held 64.53 million ASTER through Gate has transferred out 6.1 million ASTER (approximately 12.07 million USD) to a CEX today, possibly in preparation for short-term liquidation.

Analysis: The large purchase of FORM indicates that the new asset still has capital attraction, while the transfer of ASTER to exchanges may bring short-term supply pressure. Overall, the BSC and medium-sized asset market are in a state of liquidity switching.

Market Overview and Trend Analysis

The dominance of institutional capital continues to strengthen: The staking scale of ETH ETF and the withdrawal behavior of BTC jointly support long-term confidence;

The meme coin market is experiencing high capital enthusiasm: short-term speculation is significant, with risks and opportunities coexisting;

High-frequency trading is active: smart money and Whale strategies are diversified, driving market volatility;

The overall market has entered a "structural differentiation" stage: mainstream assets are securely locked, while emerging zones coexist with high-frequency speculation.

Conclusion

On-chain data indicates that the robust accumulation by institutions and the short-term speculation by retail investors resonate, putting the market in a state of high liquidity and high volatility. Mainstream funds continue to have a bullish outlook on the long-term value of ETH and BTC, while short-term opportunities frequently appear in the Meme and DeFi zones, keeping market sentiment active.