Ethereum Gains Traction as Institutional Investors Shift Focus
Ethereum is showing signs of renewed strength,driven by increased interest from big investors. Currently, ETH trades at $2,634, up 1.2% in the last 24 hours. This follows a slight dip from its recent high of $2,771. Despite this,ETH has climbed 44% in the past month,recovering from a 45% fall in Q1 2025.
On-chain data reveals that major players like BlackRock and Fidelity are moving away from Bitcoin to Ethereum. They sold about $180 million in BTC and bought 30,000 ETH tokens, worth roughly $78 million. This trend is evident in the broader ETF market, where Ethereum funds saw $109 million in inflows.
The shift could be due to Ethereum’s potential for generating income. As U.S. regulators consider approving staking products, ETH’s income-generating features are attracting large investors. Conventional firms are also treating Ethereum as a reserve asset. For example, SharpLink Gaming raised $425 million to buy ETH, and abraxas Capital increased its holdings to over $800 million.
Technically, Ethereum is showing signs of a breakout. It stays above key moving averages, with the 200-day SMA at $2,676 as the main resistance. neutral momentum indicators and tightening Bollinger Bands suggest less volatility. A daily close above $2,700 could signal further gains,while a drop below $2,500 might lead to a pullback.
