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BlackRock's iShares Ethereum Trust ETF (ETHA) has surpassed 1 million ETH in holdings, reaching 1,025,378 ETH valued at over $4 billion, just six months after its July 2024 launch. This milestone highlights a significant rise in institutional interest in Ethereum ETFs, which have collectively attracted over $850 million in inflows recently, bringing total assets to over $14 billion. Despite this growth, BlackRock's Head of Digital Assets Research noted that Ethereum products may take longer to catch up to Bitcoin ETFs.
Shares dipped slightly on Wednesday morning, with Nvidia rebounding 2.5% in premarket trading after a four-day losing streak. The Dow Jones Industrial Average rose 0.3% ahead of a Federal Reserve interest rate decision, while notable stocks like Amazon and Apple reached new highs. IBM and BlackRock are nearing key buy points, while Tesla faced a decline after recent gains.
Ethereum ETFs have seen a remarkable 16-day inflow streak, attracting $2.32 billion and bringing total assets under management to $14.28 billion, with Grayscale leading at $5.87 billion. As ETH hovers near the $4,000 mark, institutional interest remains strong, evidenced by a 2.93% control of circulating supply and significant exchange outflows indicating bullish sentiment. Despite recent market fluctuations, including a notable unstaking event, the trend suggests a focus on long-term value among institutional investors.
Ethereum's price has dropped below $3,900, with bearish sentiment targeting a decline under $3,700 following a double-top reversal at the $4,000 resistance level. Currently trading at $3,837, the cryptocurrency faces significant supply pressure and is nearing critical support levels, with a potential fall to $3,378 if key supports break. Despite this volatility, institutional interest remains strong, highlighted by $144.7 million in inflows into U.S. spot Ethereum ETFs, including significant purchases by BlackRock and Fidelity.
Ethereum is poised for significant growth, with predictions suggesting a price surge to $4,300 by 2025, driven by the tokenization of real-world assets (RWA). Large holders are accumulating ETH, controlling 57% of the supply, while institutional interest grows, evidenced by steady inflows into Ethereum ETFs. The market for tokenized assets is expanding, with Ethereum potentially capturing over $100 billion in transaction fees as regulatory clarity from a pro-crypto SEC accelerates this transition.
BlackRock's aggressive accumulation of Ethereum through its iShares Ethereum Trust ETF has sparked optimism in the crypto market, with analysts predicting a potential surge to $5,000 for ETH. This milestone could trigger a historic rally for altcoins, particularly benefiting innovative projects like DTX Exchange, which combines centralized and decentralized trading elements. As institutional interest grows, 2025 is poised to be a pivotal year for the crypto landscape.
Bitcoin spot ETFs in the U.S. have surpassed gold ETFs in assets under management for the first time, marking a significant shift in investor sentiment towards digital assets. As of December 16, 2024, Bitcoin ETFs reached over $129 billion, while gold ETFs were just under that threshold. This rapid growth follows the launch of Bitcoin ETFs in January 2024, highlighting Bitcoin's emerging status as "digital gold" amid increasing demand for decentralized investments. Leading the Bitcoin ETF market is BlackRock’s iShares Bitcoin Trust (IBIT), which has nearly $60 billion in assets.
Ethereum spot ETFs have seen a significant net inflow of $145 million, reflecting growing institutional interest, with BlackRock’s ETHA leading at $3.365 billion. Grayscale’s ETH also contributed, increasing its net inflow to $616 million, while cumulative net assets for Ethereum spot ETFs reached $14.04 billion.In related news, President-elect Trump met with Crypto.com CEO Kris Marszalek to discuss establishing a U.S. Strategic Bitcoin Reserve, aimed at enhancing economic security and consolidating government-held Bitcoin. This initiative follows Trump's engagement with other crypto leaders and coincides with Bitcoin hitting an all-time high of $108,268.45.
Ethereum spot ETFs have experienced 16 consecutive days of positive inflows, totaling $2.32 billion, fueling optimism for a potential new all-time high (ATH) as ETH approaches the critical $4,000 resistance level. Analysts note that while bullish sentiment is strong, caution remains due to potential selling pressure from significant unstaking activities. Currently, ETH trades at $3,947, reflecting a slight decline of 0.2% in the past 24 hours.
Ethena Labs has launched USDtb, a stablecoin backed by BlackRock’s BUIDL Fund, designed to maintain a 1:1 value ratio similar to USDC and USDT. With 90% of its backing from BUIDL, USDtb aims to enhance the resilience of Ethena’s existing USDe stablecoin and provide a lower-risk yield-bearing option.The stablecoin is expected to thrive in volatile markets, allowing Ethena to mitigate risks associated with negative funding rates while potentially exceeding $100 billion in total value locked. Major custodians and liquidity providers are supporting USDtb, which has passed rigorous security audits.
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