Institutional Interest in Ethereum: A New Bull Cycle on the Horizon
BitMEX founder Arthur Hayes is once again increasing his Ethereum position, purchasing 1,332.5 ETH for $2.53 million. This deal is just the tip of the iceberg: a powerful institutional driver is forming in the market, capable of propelling the second-largest cryptocurrency by market cap to the lead in a new bull cycle.
Change of Tactics: From Losses to Aggressive Accumulation
In June, Hayes recorded a loss of about $606,000 by selling 6,000 ETH. However, in July, he radically changed his strategy, returning to buying amid growing interest from major funds. The new series of acquisitions began a few weeks after the June sell-off — at the start of the month, he bought around 1,939 ETH in two over-the-counter deals.
Critics recall the investor's past experience: Hayes previously actively promoted HYPE, ZEC, and WLD tokens, but later quietly sold them. Currently, ETH is trading around $1,906, up 1.74% in the last 24 hours, with the project's total market capitalization exceeding $230 billion.
Institutional Demand: A New Growth Engine
The key factor that could change Ethereum's trajectory is demand from institutional giants, not retail traders. Bitmine Immersion Technologies Chairman Tom Li notes that Wall Street is responsible for the current rally. He cites BlackRock's BUIDL fund and the use of ETH to pay fees on the Robinhood Chain as examples.
Staking data confirms this scenario. According to CryptoQuant, by the end of June, the share of Ethereum involved in staking rose above 33% for the first time. BlackRock made a significant contribution to this shift by launching the iShares Staked Ethereum ETF: a substantial portion of the fund's assets are placed in staking contracts.
As early as last year, funds and institutional investors controlled over 9% of all Ethereum. This share has likely increased now. Jeff Kendrick of Standard Chartered called Ethereum-based treasuries one of the strongest institutional tools in the crypto industry — due to staking yields and more attractive valuations compared to Bitcoin and Solana treasuries.
Hayes' new purchase indicates confidence in the trend. However, the deal could also be short-term speculation. The coming days will reveal the market's true intentions.
Expert Opinion: The staking share rising above 33% is a critical signal. This means the supply of ETH on the market is shrinking faster than many expect. Combined with institutional demand through ETFs, we could see a structural deficit that forms the basis for a sustained upward trend. However, retail investors should remember: the current activity of Hayes and other major players may be part of a more complex strategy, not just a "bullish" signal.