Ethereum's price has recently surged nearly 14% over the past week, driven by heightened institutional interest, primarily through Ethereum ETFs. Since mid-May, these ETFs have accumulated $5 billion in investments, indicating significant investor demand. Matt Hougan, Chief Investment Officer at Bitwise, suggests that demand for Ethereum could outstrip supply in the coming months, with projections of $20 billion in purchases over the next year against an anticipated production of 800,000 ETH. Despite this bullish outlook, there are concerns about a potential short-term dip, as the asset has struggled to maintain upward momentum amidst significant inflows. Analysts note a growing disconnect between robust institutional demand, particularly from corporate treasuries shifting to Ethereum, and the current price action. While the long-term trend remains positive, strategies suggest a cautious approach with reserves to capitalize on better entry points. Overall, Ethereum is poised for continued growth as it navigates these market dynamics.

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