In a stunning turn of events that has sent ripples through the cryptocurrency markets, a major whale known as the '1011 whale' has made headlines after suffering a massive $230 million liquidation early in the morning, only to follow up by depositing nearly 100,000 ETH, valued at approximately $242 million, directly into Binance. According to crypto analyst Ai Yi on social media, this move comes right after the whale's positions were wiped out, raising questions about potential selling intentions amid volatile market conditions. Traders are closely watching this development, as such large-scale transfers often signal shifts in market sentiment, especially with ETH and BTC prices under pressure. This incident highlights the high-stakes nature of leveraged trading in crypto, where even seasoned players can face rapid reversals.

Massive Liquidation and Whale's Remaining Holdings

The liquidation event unfolded dramatically, with the whale's long positions in ETH and BTC being obliterated as BTC dipped below $76,000 and ETH fell to around $2,250. The key liquidation price for the largest ETH position was pinpointed at $2,262.7, and the entire episode lasted just 56 days from opening the positions on December 7, 2025, turning a peak floating profit of $142 million into a complete wipeout. Despite this setback, on-chain data reveals the whale still commands an impressive portfolio, holding 472,643 ETH and 39,604.91 BTC, with a combined value exceeding $42.6 billion. This remaining stash positions the whale as one of the largest holders in the space, capable of influencing market dynamics through further actions like the recent Binance deposit.

Trading Implications and On-Chain Metrics

From a trading perspective, this deposit of 99,998.97 ETH to Binance is particularly intriguing, as it could indicate preparations for a significant sell-off, potentially adding downward pressure on ETH prices. On-chain metrics from explorers show the suspected selling address actively moving funds, with timestamps indicating the transfer occurred shortly after the liquidation on February 1, 2026. Traders should monitor key support levels for ETH around $2,200-$2,300, where previous bounces have occurred, and resistance at $2,500 if buying interest returns. Volume analysis suggests that such whale movements often correlate with spikes in trading activity across ETH/USDT and ETH/BTC pairs on major exchanges, potentially leading to short-term volatility. For BTC, the whale's holdings could stabilize or exacerbate dips if liquidated further, with current market indicators like the RSI hovering near oversold territories signaling possible reversal opportunities.

Market participants are speculating on the whale's strategy—could this be a pivot to short positions or a simple portfolio rebalancing? Historical patterns show that post-liquidation deposits by whales have preceded both rallies and crashes; for instance, similar events in 2024 led to a 15% ETH price swing within 48 hours. Institutional flows might also play a role, as funds track these addresses for signals on broader crypto sentiment. Traders eyeing opportunities could consider options strategies around these levels, with implied volatility rising post-event. Overall, this saga underscores the importance of risk management in crypto trading, where leverage can amplify gains but also lead to swift losses.

Broader Market Context and Trading Opportunities

Linking this to wider market trends, the liquidation aligns with recent BTC corrections, where the flagship crypto tested $76,000 support before rebounding slightly. ETH's correlation to BTC remains high at over 0.85, meaning whale actions in one could spill over. On-chain data from February 1, 2026, indicates increased transfer volumes to exchanges, potentially signaling capitulation or accumulation phases. For savvy traders, this presents cross-market plays: longing ETH if BTC stabilizes above $80,000, or shorting via futures if deposit volumes escalate. Keep an eye on trading pairs like ETH/USD perpetuals, where 24-hour volumes have surged by 20% following the news. In summary, while the whale's moves inject uncertainty, they also create entry points for those analyzing support/resistance and volume trends meticulously.