Bitcoin trades at a key juncture as Arthur Hayes rotates more than $3 million out of Ethereum and into DeFi, signalling a tactical shift tied to liquidity expectations rather than risk-off sentiment. On-chain data confirms deliberate reallocations into yield-focused tokens as ETH stalls below resistance. The move highlights a broader market dynamic where capital is rotating within crypto, shaping near-term Bitcoin and altcoin price trajectories. Arthur Hayes Shifts $3M From Ethereum to DeFi as Charts Signal Rotation A notable shift is unfolding in Arthur Hayes’s portfolio, as on-chain data confirms an active rotation away from Ethereum and into select decentralized finance tokens. The move follows Hayes’ public comments on December 20, where he flagged improving global liquidity conditions and hinted at tactical repositioning rather than broad risk reduction. We are rotating out of $ETH and into high-quality DeFi names, which we believe can outperform as fiat liquidity improves. — Arthur Hayes (@CryptoHayes) December 20, 2025 Data shared by Lookonchain shows this was not symbolic. More than 1,100 ETH was moved and redeployed, marking a capital-backed strategy shift involving several million dollars. Arthur Hayes( @CryptoHayes ) just transferred another 680 $ETH ($2.03M) to sell and rotate into high-quality DFi tokens. https://t.co/jifQkMFtiO pic.twitter.com/xYIW9o7xSK — Lookonchain (@lookonchain) December 20, 2025 Ethereum Becomes the Funding Asset Hayes hasn’t abandoned Ethereum as a long-term asset. Instead, the rotation suggests ETH is being used as a funding layer while capital is redirected toward higher-beta opportunities within DeFi. Between December 19 and 20, Hayes transferred ETH to exchanges and market-making venues, where it was promptly converted into DeFi exposure. The speed and size of the transactions point to deliberate execution rather than portfolio testing or hedging. This framing matters. Hayes is rotating within crypto risk, not stepping away from it. Ethena, Pendle, and ether.fi in Focus The largest allocation has gone to Ethena (ENA), where Hayes added roughly 1.22 million tokens in a single session, bringing his total holdings above 6 million ENA. He has also accumulated Pendle (PENDLE) and ether.fi (ETHFI), both tied to yield tokenization and liquid restaking. Arthur Hayes( @CryptoHayes ) just bought 1.22M $ENA ($257.5K) 30 mins ago. https://t.co/loeYKUb9rN https://t.co/3j5DkVtzD1 pic.twitter.com/ft4csng5e9 — Lookonchain (@lookonchain) December 20, 2025 Together, these positions align with Hayes’ long-standing thesis that liquidity-sensitive protocols tend to outperform during early easing cycles. Ethereum Price Prediction – Technical Signals Reinforce the Shift The rotation also aligns with Ethereum’s current technical posture. ETH has been trading inside a descending channel on the 4-hour chart, repeatedly failing to reclaim the $3,100–$3,150 resistance zone. Momentum indicators suggest stabilization rather than strength, with the RSI hovering in neutral territory and the price consolidating below key moving averages. Ethereum Price Chart – Source: Tradingview By contrast, several DeFi tokens have already broken short-term downtrends or reclaimed critical EMAs, suggesting relative strength versus ETH. From a trader’s perspective, this divergence supports Hayes’ move to seek alpha in yield-driven assets while Ethereum digests its recent correction. What are the Rotation Signals for Traders Hayes is positioning for relative outperformance rather than a directional market call. Ethereum remains structurally important, but near-term capital may favor protocols that directly monetize yield, liquidity, and on-chain activity. The on-chain evidence removes ambiguity. This is not narrative positioning. 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With 1 $PEPENODE priced at $0.0012016 and limited allocation remaining, the presale is entering its final opportunity window for early buyers. Click Here to Participate in the Presale The post Ethereum Price Prediction: Hayes Moves $3M as ETH Loses Momentum to DeFi appeared first on Cryptonews .
