Ethereum Gains Institutional Support as BlackRock Accumulates ETH

Ethereum is emerging as a significant focus for institutional investors, with major players like BlackRock accumulating substantial amounts of ETH. This trend is not merely about positioning for the upcoming Ethereum spot ETF but also about preparing for the potential approval of staking-based ETFs by the SEC. These staking ETFs would offer yield-generating products, making ETH staking a source of passive income. The deflationary nature of ETH supply, especially post-merge, along with the tokenization of trillions of dollars worth of Real World Assets (RWAs) on Ethereum, further strengthens its appeal. Ethereum remains the leading tech infrastructure in the crypto space, and while retail investors are still observing, institutional money is already on the move.

Currently, Ethereum is trading around $2,533, just above the key support level at $2,475. The price has bounced from this level twice, indicating a strong demand zone. However, the 200 EMA at $2,591 is acting as a resistance. For Ethereum to confirm bullish momentum, it must break above this level. The RSI on the 2-hour timeframe is around 37.90, slightly oversold, suggesting limited downside risk unless support breaks. Key levels to watch include support at $2,475, resistance at $2,591 and $2,732, and a breakout zone above $2,732, which could signal acceleration towards $3,000 and beyond.

The journey to $10,000 for Ethereum will not be instantaneous, but the groundwork is being laid. Institutional buying is on the rise, and both spot and staking ETFs are on the horizon. The supply of ETH is shrinking due to the burn mechanism and staking, and Ethereum continues to dominate in smart contracts, DeFi, NFTs, and now RWAs. By the time retail investors experience FOMO, Ethereum could already be well on its way to reaching $10,000.