The interest of institutional investors in Ethereum is increasing, evidenced by significant investments and changing market trends.
Institutional Momentum Reshapes Market
Since early May 2023, BlackRock has added over $1 billion worth of Ethereum to its portfolio, signaling long-term conviction in the asset. This shift has not gone unnoticed, as more firms begin to view Ethereum as a long-term asset in their portfolios.
ETH Dominance Recovers
In June 2023, Ethereum's market dominance rose from a multi-year low of 7% to nearly 10%. This 4.97% monthly gain indicates a capital rotation out of Bitcoin and into ETH, reflecting renewed interest in alternative cryptocurrencies.
Staking Dynamics and Supply
Currently, over 36 million ETH are staked, accounting for nearly 30% of the total supply. This long-term lockup reduces liquid circulation, supporting price increases during periods of rising demand. Notably, over 140,000 ETH exited exchanges in a single day, further tightening available supply.
The increasing institutional interest, rising staking volumes, and recovering ETH dominance create positive conditions for further development of Ethereum in the market.
