BlackRock’s BUIDL Fund Boosts Ethereum Holdings by 15% to $1.145 Billion Amid Price Drop

BlackRock’s BUIDL Fund has significantly increased its Ethereum holdings to $1.145 billion, a move that underscores the growing institutional confidence in Ethereum’s future despite recent price struggles. Ethereum’s price has seen a sharp decline, dropping nearly 50% from $4,100 in December 2024 to around $1,750 by March 2025. This downturn has been accompanied by substantial outflows from U.S.-listed ETH ETFs, which have seen over $760 million exit in the past month. In contrast, Bitcoin ETFs have attracted $785 million in fresh capital over just six days, highlighting the shifting dynamics in the digital asset ecosystem.

The BUIDL Fund, which focuses on tokenized real-world assets, has maintained Ethereum as its dominant base layer despite diversifying across various networks such as Avalanche, Polygon, Aptos, Arbitrum, and Optimism. The fund’s total assets under management have surged by 15%, reaching $7.63 billion as of March 22, 2025. This increase reinforces the narrative that institutional players are doubling down on Ethereum’s potential.

The bullish outlook for Ethereum is further strengthened by a surge in whale accumulation. On-chain data reveals that wallets holding between 1,000 and 10,000 ETH have expanded their holdings by 5.65%, while those in the 10,000 to 100,000 ETH range have accumulated 28.73% more. Although addresses with over 100,000 ETH have remained relatively unchanged, the broader accumulation trend highlights strong institutional and high-net-worth investor conviction. This increasing demand among whales suggests that Ethereum’s long-term prospects remain robust, potentially setting the stage for a sustained upward trajectory.

The community’s reaction to these developments has been positive, with some users expressing optimism about Ethereum’s future. One user noted, “It’s obvious where $ETH is headed next,” reflecting the growing confidence in Ethereum’s potential. Another user concluded, “In conclusion, this user put it best when he said,” emphasizing the community’s bullish sentiment.

Summary: BlackRock’s BUIDL Fund has increased its Ethereum holdings to $1.145 billion, signaling strong institutional confidence in Ethereum’s future. Despite a 50% price drop in three months, Ethereum continues to attract significant institutional interest. The BUIDL Fund’s diversification across various networks and the surge in whale accumulation further support Ethereum’s bullish outlook. The community’s positive reaction underscores the growing optimism surrounding Ethereum’s potential.

Analysis: The significant increase in Ethereum holdings by BlackRock’s BUIDL Fund, coupled with the surge in whale accumulation, indicates a strong institutional belief in Ethereum’s long-term value. Despite recent price struggles and outflows from ETH ETFs, the continued investment and diversification by the BUIDL Fund suggest that institutional players remain bullish on Ethereum. The community’s positive reaction further supports this narrative, highlighting the growing confidence in Ethereum’s future prospects.