Ethereum News Today: Ethereum Surges 64% as Institutional Money Shifts From Bitcoin

Large institutional investors are increasingly allocating capital to Ethereum (ETH) as Bitcoin (BTC) faces growing levels of leveraged positions, signaling a strategic realignment within the cryptocurrency market. Recent on-chain data reveals a major whale acquiring $123 million in ETH, a move analysts interpret as smart money capitalizing on short-term pullbacks to build long-term exposure [1]. This comes as Ethereum surpasses the $4,000 level for the first time since December 2024, breaking through a key psychological threshold [2]. The price movement was further supported by over $24 million in liquidated short positions within an hour, reflecting a reversal in bearish sentiment [3].

This accumulation aligns with broader institutional interest, particularly in Ethereum’s utility as a foundational blockchain asset. One corporate investor, BitMine, has become the largest ETH holder after acquiring $2.9 billion in the token over five weeks, marking a tenfold increase in listed company ETH holdings since late 2024 [4]. Unlike Bitcoin’s more static role as a store of value, Ethereum is increasingly seen as a dynamic infrastructure asset, driven by its use in decentralized finance (DeFi) and smart contracts [5].

Ethereum’s recent performance has outpaced Bitcoin, posting a 64% gain over the past 90 days compared to Bitcoin’s 10% rise during the same period. This outperformance is supported by strong ETF inflows into Ethereum, which range between $2.2 billion and $5.4 billion, whereas Bitcoin’s inflows have remained relatively flat [6]. Ethereum’s market capitalization has also risen to $446.57 billion, reflecting growing institutional confidence.

On-chain activity further reinforces Ethereum’s momentum, with daily transactions reaching 1.87 million—close to the historical peak of 1.96 million. This increase suggests heightened usage of the network and strengthens the case for sustained price support, even amid broader market turbulence [7].

However, analysts caution that Ethereum’s path to $10,000 remains uncertain in the near term. Meanwhile, Bitcoin faces resistance at $119,000, with potential downside to $95,000 if selling pressure intensifies. Despite these risks, Ethereum’s expanding utility in staking and DeFi may help it maintain gains and act as a buffer against deeper corrections [8].

The current dynamics reflect a broader reevaluation of crypto’s value proposition. As institutional investors shift capital toward Ethereum’s innovation and use cases, the asset is increasingly challenging Bitcoin’s dominance. If this trend continues, Ethereum could reshape the institutional approach to cryptocurrency markets.

Source:

[1] Mitrade - Mysterious Whale Buys $123M In Ethereum: Quiet Smart (https://www.mitrade.com/insights/news/live-news/article-3-1021729-20250808)

[2] Mitrade - Ethereum breaks above $4000 for the first time since ... (https://www.mitrade.com/insights/news/live-news/article-3-1025148-20250808)

[4] AInvest - Ethereum Surges 64% as Institutional Investment Shifts ... (https://www.ainvest.com/news/ethereum-news-today-ethereum-surges-64-institutional-investment-shifts-bitcoin-2508/)

[7] CoinCodex - Ethereum Transactions Hit New All-Time High Amid ... (https://coincodex.com/article/71184/ethereum-transactions-hit-new-all-time-high-amid-growing-on-chain-activity/)