Ethereum
A new wave of institutional buying is emerging in the Ethereum market, with blockchain infrastructure company Bitmine quietly adding 7,660 ETH (worth about $29 million) to its holdings.
of purchaseSources from Galaxy Digital suggest that large investors are steadily raising funds even as individual traders become more cautious.
Recent on-chain data clearly shows this change. Galaxy Digital has transferred two separate tranches of Ethereum to Bitmine’s main address, reigniting speculation that the big players are positioning themselves ahead of a broader market recovery. For BitMine, this transaction follows the purchase of over $820 million in ETH and adds to its long record of active accumulation.
Financial institutions step in as retail traders retreat
The mood among retail traders tells a very different picture. According to Karshi Prediction Market, the expectation that Ethereum will rise above $5,000 by the end of 2025 has fallen to 34% from more than 40% just a few weeks ago. This fading optimism reflects broader anxiety in global markets, where investors are still digesting mixed economic data and increasing uncertainty about the Federal Reserve’s policy path.
Enthusiasm was further dampened by Chairman Jerome Powell’s recent comments that “further rate cuts are unlikely this year.” For retail traders already wary of volatility, the combination of cautious financial signals and weak on-chain indicators has led to a decline in participation. This is the opposite of what institutions like BitMine seem to be doing.
Quiet buildup could tighten supply
Market analysts often view such contradictory behavior as an early sign of market divergence. Historically, periods of retail indifference have preceded major reversals by institutional accumulation, especially for assets with constrained supply dynamics. Ethereum’s growing network of staking, Layer 2 solutions, and token burning could magnify its impact if it continues to accumulate.
Market strategist Ted Pillows noted that Bitmine’s weekly Ethereum purchases are reportedly in the range of $200 million to $300 million. He believes that if similar inflows continue, a shift in sentiment could tighten supply and cause prices to rise quickly. “If we get a few more whales like Bitmain, the tone of the market could change overnight,” he explained.
Analysts still expect Ethereum to lead next cycle
Despite short-term hesitance, several analysts maintain that Ethereum remains one of the strongest options among digital assets. Crypto analyst Michael van de Poppe highlighted that the network’s expanding ecosystem and upcoming Fusaka upgrades are key catalysts for new momentum. He predicts that ETH could rise above its previous highs and move well above the $5,000 threshold once risk appetite returns to the market.
The contrasting perspectives between prediction market traders and institutional investors highlight the familiar cycle in crypto: underlying fear, smart money accumulation, and eventual recovery. If history repeats itself, the latest $29 million move by BitMine could be the early spark of the next major Ethereum rally.
At the time of writing, Ethereum is hovering around $3,780, with a modest daily decline of about 1.2%, but the quiet buildup of long-term positions may tell a larger story.
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