This is the cryptocurrency that financial giants are hoarding: funds are absorbing it at a historic pace.

Funds are buying this cryptocurrency 32 times more than what is minted on the blockchain network.

Since mid-May, exchange-traded funds (ETFs) and corporate treasuries have acquired approximately 2,83 million ETH, while the network has only issued about 88.000 coins in that same period. This 32 to 1 ratio of demand to supply has generated a phenomenon that Bitwise CIO Matt Hougan has described as a “demand shock”.

“ETH is on a roll. The reason? Overwhelming demand for ETPs and corporate Treasuries.”, Hougan wrote on his X account on July 22. “Sometimes, it really is that easy.”

This imbalance, he explained, has driven Ethereum's price up more than 160% since April and more than 65% in the last month alone, marking one of the most aggressive recoveries in the crypto ecosystem in 2025.

An institutional replication of the Bitcoin pattern

Ethereum's current rally is reminiscent of Bitcoin's institutional accumulation cycle in 2024, when ETFs absorbed five times more BTC than was issued on the blockchain. Ethereum, however, is replicating that pattern with an even greater intensity.

Hougan estimates that, over the next 12 months, ETFs and corporate treasuries could acquire up to 5,33 million ETH, equivalent to $20.000 billion at current prices. In contrast, the projected network issuance is just 800.000 ETH, suggesting a future demand-to-supply ratio of 7 to 1.

“Institutional investors are significantly underweight Ethereum versus Bitcoin.”, Hougan explained in his recent post. “Although ETH's market cap is 19% of BTC's, Ethereum ETPs have only accumulated 12% of the assets held by Bitcoin ETPs.”

Wall Street accelerates its bet on Ethereum

Firms such as BlackRock, Fidelity, VanEck, and Bitwise are leading the institutional push into Ethereum. BlackRock's ETF, ETHA, saw net inflows exceeding $726 million in a single day, while Fidelity's ETF surpassed $1.700 billion in assets under management.

Additionally, companies such as BitMine Immersion Technologies, SharpLink Gaming, and BioNexus Gene Lab have adopted ETH-based treasury strategies, accumulating hundreds of thousands of coins in their balancesSharpLink, for example, already holds over 360.000 ETH, second only to the Ethereum Foundation.

Hougan anticipates this trend will accelerate: “All signs suggest the “ETH treasury company” trend will accelerate. The key is whether Treasury shares trade at a premium to the value of the crypto assets they hold, and right now, that's certainly true for ETH treasury companies. Full steam ahead.”.

Staking and liquidity put pressure on ETH supply

To this scenario of “demand shock” of which speech Hougan adds the effect of the staking, which maintains approximately the 28% of the total ETH supply locked in validation contractsAs we know, this mechanism reduces the liquidity available in the market and increases pressure on the cryptocurrency supply.

Ethereum also maintains its leadership as an infrastructure for decentralized applications (dApps), stablecoins, and tokenized assets. According to data from CoinShares, more than 50% of the value of tokenized assets and 54% of stablecoin market capitalization are located on the Ethereum network.

$10.000 per ETH is on experts' radar

Standard Chartered Bank projects that Ethereum could reach $10.000 before the end of 2025, driven by the influx of institutional capital, especially from pension funds seeking regulated exposure through ETFs.

But this growth in institutional demand not only increases the value of ETH, but also legitimizes its role as a financial asset. The approval of spot ETFs and corporate adoption, along with the push to integrate staking into financial products, consolidate Ethereum as a key element in the architecture of decentralized and traditional finance.

Hougan sums it up like this: “In the short term, the price of everything is determined by supply and demand. And right now, there's significantly more demand for ETH than there is new supply. I suspect we're headed higher.”

Thus, experts point out that institutional accumulation of Ethereum is redefining market equilibrium. With demand far outstripping supply, supported by ETFs, corporate treasuries, and staking, ETH is positioned as the asset most absorbed by financial giants in 2025.

The narrative is no longer about retail speculation, but about the consolidation of Ethereum as a global financial infrastructure. If projections come true, the current bull run could mark a turning point in the history of digital assets.