Institutions Quietly Building Ethereum Holdings, Setting stage for $7,500 Price Surge
Standard chartered has significantly raised its Ethereum year-end price prediction to $7,500. the previous estimate was $4,000.
Since June,big players have been accumulating Ethereum steadily. they’ve bought nearly 4% of the existing supply. this rapid build-up is almost twice as quick as Bitcoin’s fastest inflows in 2021.
Why are they buying? Three main reasons:
- Institutional investors seeing Ethereum as a strong asset.
- New policies helping stable coins.
- Improvements to Ethereum technology.
the GENIUS Act, a new law for stable coins, is good for Ethereum. It processes a lot of transactions for such coins.As the stable coin market could grow to $2 trillion by 2028, Ethereum’s role becomes vital.
Ethereum’s technology is getting better too. It handles high-value deals well, while smaller ones go to other platforms like Base and Arbitrum. This attracts more big players.
Derivatives trading on Kraken shows caution. Open interest hit a record, but funding rates stay low. Traders are being careful, not chasing risky gains.
Looking ahead, Standard Chartered sees Ethereum hitting $12,000 by late 2026, $18,000 in 2027, and $25,000 by 2028-29. This assumes Ethereum keeps its lead in stable coins and decentralized finance.