BlackRock Accelerates Ethereum Accumulation, Outpacing Bitcoin Purchases 4:1
The world's largest asset manager made a striking shift in its crypto acquisition strategy last week, purchasing $1.2 billion worth of Ethereum compared to just $267 million in Bitcoin between July 22-28. Blockchain analytics firm Arkham tracked multiple large transactions from Coinbase Prime to BlackRock-controlled wallets, including a single 177,500 ETH transfer worth $655.9 million and several 10,000 ETH blocks (valued at $36-37 million each).
This aggressive accumulation comes as Ethereum shows stronger weekly performance (+3.14% to $3,812) compared to Bitcoin's slight decline (-0.11% to $118,356). The disproportionate allocation suggests institutional investors may be viewing Ethereum's utility-driven ecosystem – including its dominant position in DeFi, NFTs, and enterprise blockchain solutions – as increasingly critical for diversified crypto exposure.
Market analysts highlight three key implications:
1) Portfolio Rebalancing: Institutions appear to be building ETH positions beyond typical BTC-dominant allocations
2) ETF Demand Signals: BlackRock's ETH purchases precede anticipated growth in spot Ethereum ETF volumes
3) Market Structure Shift: Ethereum's staking yields and deflationary supply may be attracting capital seeking yield-bearing assets
The move coincides with Ethereum's upcoming Pectra upgrade and follows Galaxy Digital's recent report predicting ETH could outperform BTC in Q3 2025. As BlackRock's crypto holdings now exceed $18 billion across both assets, its investment patterns continue to shape institutional crypto strategies globally.
