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Who's behind the Ethereum rally?

Ethereum is climbing again. The second-largest crypto touched close to $3,700 this morning, a level we last saw in January this year.

By Mike Hesp
• 2 min read
Who's behind the Ethereum rally?

Ethereum is climbing again. The second-largest crypto touched close to $3,700 this morning, a level we last saw in January this year. The sudden rebound isn’t out of nowhere: multiple signals point to growing institutional demand, especially from the United States.

Coinbase Premium Turns Green

One of the standout indicators is the so-called Coinbase Premium Gap —the gap in price between the U.S. exchange Coinbase and the global giant Binance. When this metric lights up green, analysts interpret this as a clear rise in U.S. buying pressure. And that’s exactly what’s happening right now, especially for Ethereum.

Record Inflows into U.S. ETH Spot ETFs

Even more convincing are the numbers from the U.S. Ethereum spot ETFs. Last Wednesday, the funds logged a record inflow of $720 million, followed by another $602 million on Thursday. It’s a strong signal that institutional investors are increasingly confident in Ethereum as a long-term holding.

Ethereum as a ‘Treasury Asset’ Gains Ground

Additionally, interest among companies to hold Ethereum on their balance sheets is growing — similar to what MicroStrategy did with Bitcoin. Sharplink Gaming, among others, has announced plans to integrate Ethereum into its treasury, and they’re not alone. This strengthens the view of ETH as a digital asset with strategic value.

Regulation Has Clarity and Opportunity

Regulatory developments are also giving Ethereum a tailwind. The recent approval of several U.S. crypto bills, including the much-discussed GENIUS Act that lays out legal frameworks for stablecoins, is seen as a structural benefit for Ethereum. As a base layer for many stablecoin ecosystems, ETH directly benefits from this kind of legislative movement.

From a worry-child to a growth engine? Ethereum is staging an impressive comeback. After months of struggling to stay relevant in Bitcoin’s shadow, the trend now looks fully reversed. A mix of capital inflows, clearer regulation, and growing business confidence is making Ethereum one of the most exciting players in the market right now.

Disclaimer: This content is for informational purposes only and does not constitute financial, investment, legal, or tax advice. The information provided may be incomplete, inaccurate, or outdated and should not be relied upon as such. Nothing on this website should be considered a recommendation to buy, sell, or hold any cryptocurrency. Investing in crypto-assets involves risk of loss.