Ethereum Whales Accumulate $350 Million in Anticipation of the December Fusaka Upgrade

Large Holders Position Ahead of Network Enhancement

Ethereum’s largest holders have executed substantial purchases totaling over $350 million during November’s price pullback, according to on-chain data from Arkham Intelligence and Etherscan. The accumulation pattern suggests institutional participants view current price levels around $3,400 as strategic entry points ahead of Ethereum’s Fusaka upgrade scheduled for December 3, 2025.

A newly created wallet acquired 10,000 ETH worth approximately $34 million last week when Ethereum reached a local bottom near $3,200. The same entity then purchased another 10,000 ETH this week, bringing total holdings to $70 million. Meanwhile, a separate whale acquired 24,007 ETH valued at over $82 million through Galaxy Digital’s over-the-counter desk.

The most significant transaction involved an investor purchasing nearly 58,811 AaveETH worth $206 million on Wednesday. The concentration of large purchases within a narrow timeframe indicates coordinated positioning rather than random market activity. Those seeking to buy ethereum through retail channels have witnessed prices recover approximately 10% from recent lows.

Institutional Pattern Recognition

Rachel Lin, CEO and Co-Founder of SynFutures, characterized the activity as institutional rather than retail, noting that “the size and speed of OTC fills and exchange withdrawals suggest institutional participants or treasury buyers”. The over-the-counter nature of these transactions allows large purchasers to acquire substantial positions without creating price slippage that would occur through standard exchange order books.

According to CryptoQuant data, wallets holding between 10,000 and 100,000 ETH have increased their balances by 7.6 million tokens since late April, representing a 52% increase. This accumulation occurred while retail wallets holding 100 to 1,000 ETH reduced their holdings by 16%, creating a clear divergence between institutional confidence and retail caution.

Lin explained that these buyers are “positioning for medium-term upside, tolerating near-term volatility in anticipation of catalysts such as policy easing or institutional product flows”. The strategic timing aligns with Ethereum’s upcoming network enhancement and improving macroeconomic conditions that could support digital asset valuations.

Fusaka Upgrade Technical Specifications

Ethereum developers officially confirmed the Fusaka upgrade for December 3, 2025, scheduling activation when the blockchain reaches slot 13,164,544, expected to occur at 21:49 UTC. The upgrade represents Ethereum’s second hard fork of 2025, following the Pectra enhancement deployed in May.

Fusaka combines significant changes in both Ethereum’s execution and consensus layers, designed to expand data capacity, reinforce defenses against denial-of-service attacks, and introduce new tools for developers. The upgrade’s centerpiece is PeerDAS (Peer Data Availability Sampling), which fundamentally changes how Ethereum nodes handle transaction data.

According to CoinDesk’s technical coverage, PeerDAS will boost blob throughput eightfold by sampling data instead of requiring full storage on every node. Currently, every full node must store every blob of layer-2 data posted to the chain, creating bandwidth bottlenecks as demand grows. PeerDAS allows each node to store approximately one-eighth of the total blob data while using cryptographic reconstruction to verify missing pieces.

The upgrade increases the default gas limit to 60 million gas from the current level, allowing more transactions to be processed directly on the main Ethereum network. Additionally, Fusaka introduces Blob-Parameter-Only forks, small, focused updates that simply increase the number of allowed blobs without requiring full hard forks.

Layer-2 Cost Reduction Expectations

The technical enhancements promise substantial cost reductions for layer-2 networks that currently dominate Ethereum activity. Layer-2 networks work by bundling thousands of transactions and posting summaries back to Ethereum in packages called “blobs”. By expanding blob capacity from 6 to 48 per block, Fusaka enables these networks to process significantly more transactions without proportional cost increases.

Blob Capacity Expansion Chart (6 → 48 per block). Source: Ethereum Foundation / OP Labs

According to Decrypt’s analysis of the upgrade, platforms like Arbitrum, Optimism, and Base, which now handle the majority of Ethereum activity, stand to benefit substantially from reduced data posting costs. The efficiency gains translate directly to lower transaction fees for end users interacting with decentralized applications built on these networks.

Sanjana Mehta, product manager at Optimism protocol developer OP Labs, characterized Fusaka’s accelerated timeline as reflecting “the urgency of scaling rollups and delivering cheap, fast transactions at scale”. The implementation of Blob-Parameter-Only forks allows capacity increases between major upgrades, providing flexibility to respond to unpredictable demand spikes.

The upgrade completed testing across three major testnets throughout October. Holesky activated on October 1, Sepolia on October 14, and Hoodi on October 28, with each testnet receiving Fusaka followed by Blob-Parameter-Only forks that gradually increased blob capacity. The phased testing approach allowed developers to identify and resolve issues before mainnet deployment.

Market Structure and Price Dynamics

Ethereum currently trades around $3,500, having recovered from early November lows near $3,200. On prediction market Myriad, users place a 69% probability on Ethereum’s next significant move taking it to $4,000 rather than $2,500, suggesting market participants expect upward price action despite recent volatility.

CryptoQuant verified analyst ShayanMarkets noted that high spot volumes for executed trades following Ethereum’s drop to $3,000 in early November often mark “the start of trend reversals or late-stage compression phases before major upswings”. The pattern of whale accumulation during price weakness historically precedes sustained rallies as reduced exchange supply limits immediate selling pressure.

Shawn Young, chief analyst of MEXC Research, assessed that “the likelihood of whale accumulation forming a local bottom remains high”. However, macroeconomic conditions continue to influence digital asset markets, with Federal Reserve policy decisions and broader risk appetite affecting short-term price action.

Exchange reserves have reached multi-year lows as large holders withdraw Ethereum from trading platforms into cold storage wallets. This structural change reduces immediately available supply, creating conditions where relatively modest demand increases can generate significant price movements. The withdrawal pattern typically indicates long-term holding intentions rather than short-term trading strategies.

For traders managing positions across multiple platforms, tools that enable efficient crypto swapping between different assets provide flexibility to adjust allocations as market conditions evolve. Similarly, those seeking exposure through traditional financial products have seen growing interest in regulated vehicles that provide Ethereum access.

Institutional Infrastructure Maturation

The accumulation pattern occurs against a backdrop of improving institutional infrastructure for digital asset exposure. Lai Yuen, investment analyst at Fisher8 Capital, noted observing “the same for Bitcoin as well, with new participants coming in to absorb sell pressure from OGs that believe in a four-year cycle”.

Businesses exploring cryptocurrency integration now have access to comprehensive platforms that facilitate crypto payments for business operations with regulatory compliance frameworks that were unavailable during previous market cycles. This infrastructure development enables commercial adoption beyond speculative trading.

Yuen highlighted that “there is still a lot of excitement from traditional finance regarding asset tokenization,” suggesting regulatory clarity could provide additional catalysts. The convergence of technical improvements through Fusaka and evolving regulatory frameworks creates conditions that institutional allocators find increasingly attractive.

The upcoming upgrade represents a continuation of Ethereum’s technical roadmap rather than an isolated enhancement. Following Fusaka, developers plan to implement the Glamsterdam upgrade in 2026, which will further advance proposer-builder separation and other architectural improvements. This consistent progression demonstrates a long-term commitment to scalability and efficiency gains.

Whether the current accumulation pattern proves prescient depends on execution quality when Fusaka activates on December 3 and subsequent adoption rates for the enhanced capabilities. The whale positioning suggests major holders believe the combination of technical improvements and favorable market structure justifies current valuations. For those tracking developments, monitoring ethereum price movements through the upgrade deployment will provide insights into whether institutional confidence translates to broader market participation.