Matt Hogan noted that over the past few weeks, Ethereum has been experiencing a "demand shock." According to Bitwise, the coin's price has risen by 50% in a month, and since April, Ethereum has gained nearly 150%.
"Preliminary estimates suggest that since May 15, corporate treasuries have purchased about 2.83 million ETH — over $10 billion at current prices. This is 32 times the net new supply of the network during the same period. With such an imbalance, the price increase is not surprising," Hogan explained.
According to him, the "catch-up purchases" of the coin by management firms and investment funds that missed the opportunity to invest in Ethereum earlier could support price growth over the next few months.
Interest in stablecoins and the tokenization of traditional assets is growing, while most of their infrastructure operates on the Ethereum blockchain, the investment director explained. Activity in the network drives demand for Ethereum, which serves as a collateral asset. The trend of large funds converting reserves to ETH may strengthen, Hogan suggested.
Earlier, analysts at Fundstrat stated that the value of the second-largest cryptocurrency by market capitalization could reach $4000 by the end of July.