Institutional investors are making huge waves in the crypto world lately, especially when it comes to Ethereum. They’re buying up massive amounts of ETH, and it’s causing quite a stir.
Billions in ETH Bought
Recent data shows that institutions have snapped up over 1.035 million ETH in the last month – that’s about $4.167 billion! This buying spree happened through major exchanges like Kraken, FalconX, Galaxy Digital, Binance, and Coinbase. Analysts believe most of this ETH is being added to the reserves of institutions and US public companies. One notable exception is SharpLink Gaming, which has been openly accumulating ETH for its treasury, aiming for a $5 billion ETH holding.
Is This Driving the Price Up?
This massive institutional buying coincides with a huge price jump for Ethereum. The price has soared from around $2,600 to over $4,000 in just a month – a 45% increase! While the correlation is clear, it’s important to note that institutions bought at an average price of about $3,546. As of now, ETH is trading at around $4,260, showing a significant profit for these early buyers.
Even Big Names are Jumping Back In
Even Arthur Hayes, the BitMEX co-founder, is back in the game. He previously sold off 2,373 ETH for about $8.32 million. But with the price surging over 20% since then, he repurchased all his ETH for about $10.5 million. He publicly admitted his mistake and vowed to never sell again!