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Where did the missing ethereum go? I payed 0.00088378 in fees, making the total transfer 0.10188378.

So, Wallet 1: -0.10188378 Fee: 0.00088378 Wallet 2: +0.09308715 Where did the remaining 0.00791285 ETH ~ $1.50USD go?

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Don't know without looking at the transaction.

You could trace the interaction on etherscan.io by looking up the transaction with the wallet 1 address in the search box. Just follow each step in the transaction forward.

If the transaction was over to an exchange, like Bittrex, then there may be fees associated with moving the ethereum over to the exchange wallet via their smart contract.

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If you bought the Ether from exchanges they probably took a cut. I know Coinbase does.

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