The crypto market sentiment remains optimistic despite recent price volatility. Notably, Ethereum (ETH) – the largest altcoin in the market – has risen over 37% in just the past 30 days. This raises the question: Who are the strongest traders and accumulators of ETH, and will this upward trend continue?
Ethereum is rising slower than Bitcoin – but is regaining its position
Since 2022, the growth rate of ETH has generally been more modest compared to Bitcoin. In the past 12 months, BTC has yielded +75%, while ETH has only increased by +19%. This has left many Ethereum investors questioning: What is holding back ETH's breakout?
The answer lies in the dispersion of capital flows. Over the past year, Ethereum's base layer (Layer 1) has 'sacrificed' some of its capital appeal to nurture Layer 2 networks with cheaper fees like Arbitrum (ARB), Optimism (OP), Starknet (STRK), Mantle (MNT), and POL.
Imagine: Ethereum is like a gigantic balloon – but when inflated, some of the air escapes into a multitude of smaller balloons (the Layer 2), making it slower to inflate the main balloon.
However, Ethereum remains a 'huge balloon' – with a market capitalization of 421 billion USD on August 3, continuing to hold its position as a core asset in the long-term portfolio of major investors since 2015.
And more importantly, a series of positive signals are emerging, indicating that Ethereum's growth might just be beginning.
Below are 4 signs that show Ethereum still has great growth potential this summer:
1. Ethereum returns to the game with a billion-dollar frenzy on Wall Street
Just a month into Q3, the pressure from capital flowing into the Ethereum ecosystem has been strong enough to create a turning point, pushing ETH prices back into an upward trend and significantly changing the market landscape.
The impressive increase in July indicates that demand for ETH has become broader and deeper, capable of absorbing the massive capital flowing into Layer 2 solutions without undermining the strength of Layer 1.
This has led bullish speculators to boldly make 'crazy' predictions, notably Arthur Hayes – the founder of BitMEX – who declared: 'Ether = 10,000 USD' in a Medium post on July 22. He emphasized:
'Since Solana dramatically rose from the ashes of FTX – from $7 to $280 – Ether was once considered the most hated large-cap cryptocurrency. That is no longer the case; Western institutional investors, led by Tom Lee, are extremely fond of Ethereum. Buy first, ask later.'
2. Ethereum ETF capital flows set a new record
As Gordon Gekko – the legendary symbol of Wall Street – once said: 'Greed is good.' And this 'greed' is clearly manifesting in the Ethereum market.
A large group of institutional investors has recognized the real potential of blockchain, becoming addicted to profits from Bitcoin and Ether in 2025. They are aggressively accumulating ETH through ETFs, custody services, and on-chain development programs.
Notably, capital inflows into Ethereum ETFs reached a record level in July, reflecting the thirst for ETH among institutional investors. Just in one week in mid-July, Ether ETFs attracted up to $2.12 billion and continued to maintain the upward momentum in the following weeks – despite a somewhat declining market backdrop.
According to Matt Hougan – CIO of Bitwise Investments, this is the 'Ethereum demand shock', as capital from ETF funds and listed treasury companies is pushing ETH prices higher, creating a new wave on Wall Street.
3. SharpLink Gaming 'accumulates' hundreds of millions of USD
SharpLink Gaming, an online sports betting company based in Minneapolis and listed on Nasdaq, is making a bold move: betting big on Ethereum to elevate its business model, aiming for higher transparency and security for players through blockchain technology.
On June 25, SharpLink bought 188,478 ETH, with a value of nearly 750 million USD in just one month. Not stopping there, within 5 days in mid-July, the company continued to accumulate an additional 60,582 ETH, equivalent to 180 million USD.
Wall Street quickly reacted positively: SharpLink's stock rose 17% in less than 24 hours after the deal was announced.
As of July 16, SharpLink had locked a total of 280,000 ETH (about 900 million USD), creating a supply shock in the market and contributing to the price increase of Ether. By August 3, this number continued to rise sharply, exceeding 480,000 ETH.
The company claims that this holding is being staked to generate hundreds of thousands of USD in profits each week, while also reinforcing its position in the large-scale blockchain game.
4. Bitmine launches a 250 million USD Ethereum fund
Not only SharpLink Gaming, Bitmine Immersion Technologies – a Las Vegas-based blockchain company – is also heavily betting on Ethereum.
This company has recently begun a buy-and-hold and staking strategy of ETH as a core part of its growth model. Notably, Bitmine has invited Tom Lee – CEO of FundStrat, who gained attention on CNBC for predicting Bitcoin will reach 1 million USD – as an advisor.
In early July, the company officially launched a 250 million USD Ethereum fund for enterprises. This move immediately created a strong effect on the market, causing Bitmine's stock to soar by 3,000%, from a 'penny stock' price to over 135 USD/share in a short time.