Ethereum has broken above $3.400 for the first time in six months, fueled by massive institutional accumulation, new record highs in spot ETFs, and on-chain bullish signals that cement its position as a strategic digital asset.
The second most capitalized cryptocurrency on the market, Ethereum (ETH), has reached a valuation of $3.598 at the time of writing, marking its highest level since January 2025.
The cryptocurrency's price rally is occurring amid a combination of technical and fundamental factors that have bolstered institutional confidence. Record capital inflows into cash ETFs, aggressive ETH accumulation by large entities such as SharpLink Gaming, and derivatives activity have been key drivers of this move.
BUY ETHEREUM ON BIT2MEEthereum spot ETFs hit record high
On Wednesday, July 16, U.S. Ethereum spot ETFs saw a net inflow of $726 million, the highest since its SEC approval a year ago. BlackRock's ETHA fund led the way with $499 million, followed by products from Grayscale, Fidelity, and Bitwise. This massive inflow has brought total net assets in ETH ETFs to $16.410 billion, cementing its appeal as an institutional investment vehicle.
The demand generated by these products has had a direct impact on the price of ETH, which gained more than 10% in a single day. This bullish momentum, which continued on Friday, briefly pushed the cryptocurrency above $3.615.
Source: CoinGecko
Meanwhile, institutional accumulation by companies like SharpLink Gaming, which has emerged as one of the largest Ethereum buyers, is also driving the cryptocurrency higher.
This company made a new purchase 32.892 ETH valued at over $118 million. SharpLink Gaming has now surpassed even the Ethereum Foundation in corporate ETH holdings, holding nearly 99,7% of its assets staked, indicating a long-term accumulation strategy.
World Liberty Financial (WLFI), backed by US President Donald Trump, has also strengthened its position with the acquisition 3.007 ETH for approximately $10 million. Additionally, entities like Fenbushi Capital have withdrawn thousands of ETH from exchanges, suggesting a redistribution to cold storage or strategic reserves.
EXPLORE THE POTENTIAL OF CRYPTOInstitutional support for ETH grows
Ethereum has attracted the attention of other Nasdaq-listed companies, such as BitMine and GameSquare, which have invested over $570.000 billion in the cryptocurrency in recent months. These purchases have added over XNUMX ETH to corporate reserves, reducing the circulating supply and strengthening ETH's perception as a reserve asset.
The Pectra upgrade in May also contributed to the rally, improving the staking process. Since then, a net 1,51 million ETH has been deposited into staking platforms, indicating growing confidence in the network as a yield generator.
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Ethereum rally strengthens
On a technical level, Ethereum is showing very interesting signs. The cryptocurrency has managed to break out of an ascending triangle that had been forming for weeks and is heading toward supply levels near $4.100, according to experts. This advance is supported by solid technical support, as ETH remains above its key moving averages and has strength indicators such as the RSI and MACD supporting a clear bullish trend.
In the field of derivatives, activity is also in full swing. open interest in ETH has grown by more than 7% to exceed $50.000 billion, while options volume has seen a spectacular increase, exceeding 60%. Bullish pressure is reinforced with liquidations massive short positions exceeding $137 million in just one day, reflecting investor optimism.
However, the movement is not homogeneous. While some institutional players continue to accumulate, others have chosen to take profits. For example, Trend Research sold a significant amount of ETH for around $250 million, and another large whale liquidated nearly 99.000 ETH for almost $280 million. Furthermore, the non-profit organization Argot Collective has also converted part of its reserves into stablecoins, selling thousands of ETH since July. However, all these transactions have not slowed the overall momentum of Ethereum and the market, which continues on a steady upward trajectory.
In short, Ethereum is consolidating its position as a strategic asset amid the ongoing transformation of the crypto market. The combination of strong institutional support, robust technical signals, and solid network fundamentals suggests this rally has the potential to extend to higher resistance levels. With a market capitalization exceeding $434.000 billion, ETH has established itself as a fundamental part of today's digital financial infrastructure.
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