Ethereum News Today: Ethereum Surpasses Bitcoin as Institutional Trust Grows

Ethereum's native token, Ether (ETH), reached a new all-time high of $4,880 on Coinbase, surpassing its previous peak set in November 2021 [1]. This milestone follows a significant price rebound, with ETH surging by over 250% since its April lows. The rally has been driven by multiple factors, including a dovish stance from the U.S. Federal Reserve and growing institutional adoption of Ethereum as a utility-rich reserve asset. During the Jackson Hole symposium, Federal Reserve Chair Jerome Powell hinted at the possibility of a 25 basis point interest rate cut in September, signaling looser liquidity conditions that have traditionally benefited risk assets like Ethereum [1].

The resurgence in ETH prices is also supported by strong inflows into Ethereum-focused exchange-traded funds (ETFs). On August 21, these funds attracted $287.6 million in net inflows, ending a four-day outflow streak and bringing the total net inflows for Ethereum ETFs above $12.1 billion [4]. BlackRock’s iShares Ethereum Trust (ETHA) led the inflow with $233.5 million, while Fidelity’s Ethereum Fund (FETH) added $28.5 million. This capital inflow has contributed to the growing dominance of Ethereum in the broader crypto market, with its market share rising above that of Bitcoin. For the first time since March, Bitcoin’s share of total crypto market capitalization dropped below 60%, indicating a broader rotation of capital into alternative cryptocurrencies, including Ethereum [1].

In addition to ETF inflows, Ethereum has seen increased institutional adoption, with corporate treasury firms accumulating ETH as part of their strategic reserves. Over the past month, these firms have collectively acquired $1.6 billion worth of Ether, with companies such as BitMine, SharpLink, and BitDigital among the most active buyers [1]. As of the latest data, Ethereum treasury holdings have surpassed $29.75 billion, representing a significant portion of the total supply and reflecting a growing perception of Ether as a stable reserve asset rather than a speculative token [1]. This trend has been further reinforced by regulatory developments, including the Genius Act, which allows traditional financial institutions to issue their own stablecoins, and the SEC’s Project Crypto initiative, which aims to clarify the legal status of crypto assets [3].

Analysts have responded to the ETH price surge with varying forecasts. Standard Chartered has raised its year-end ETH price target to $7,500 from $4,000, while some analysts predict ETH could reach as high as $13,000 in the coming months. Others, including Arthur Hayes, co-founder of BitMEX, have suggested even more ambitious price targets, forecasting Ether could climb to $20,000 during this bull cycle [3]. These forecasts are based on the current momentum in the market, which appears to be driven by a combination of macroeconomic conditions, institutional demand, and technological innovation. Ethereum’s ecosystem has also seen significant advancements, particularly in decentralized exchanges (DEXs), where protocol upgrades have enabled DEX-based perpetual trading to rival the efficiency and depth of centralized platforms [5]. These upgrades have contributed to Ethereum’s appeal as a foundational blockchain for financial applications.

The recent price performance of Ethereum underscores a broader shift in the crypto market, with Ether increasingly being viewed as a core asset in both speculative and institutional portfolios. As macroeconomic conditions continue to evolve and institutional adoption expands, Ethereum is likely to maintain its position as a leading asset in the digital economy.

Source:

[1] ETH Hits New Highs as Fed Turns Dovish, Ether ETF Inflows Resume (https://cointelegraph.com/news/eth-hits-new-highs-as-fed-turns-dovish-ether-etf-inflows-resume)

[2] Ethereum Surges to New All-Time High Amid Likely September Rate Cut (https://www.coindesk.com/markets/2025/08/22/ethereum-surges-to-new-all-time-high-amid-likely-september-rate-cut)

[3] Three Reasons Why Ethereum Just Broke a New All-Time High (https://www.dlnews.com/articles/markets/three-reasons-why-ethereum-broke-a-new-all-time-high/)

[4] BlackRock Leads $287M Spot Ether ETF Inflows After 4-Day Outflow Streak (https://cointelegraph.com/news/spot-ether-etfs-287m-inflows-blackrock-fidelity-eth-reserves)

[5] 6 Protocol Upgrades That Transform DEX-Based Perpetual Trading (https://blockchainreporter.net/6-protocol-upgrades-that-transform-dex-based-perpetual-trading/)