Is Ethereum the New Bitcoin? BlackRock Shifts Focus From BTC to ETH
Highlights
- Ethereum rising: Investors question if ETH is becoming the new Bitcoin.
- BlackRock pivot: The asset giant reportedly reallocates crypto exposure from BTC to ETH.
- Market impact: Shift sparks speculation about Ethereum’s long-term dominance.
- BTC losing edge? Bitcoin’s status as the top digital asset now faces serious competition.
Ethereum Draws Growing Institutional Attention as BlackRock Shifts Focus
Ethereum is increasingly attracting institutional capital, with BlackRock—the world’s largest asset manager—emerging as a prominent supporter. For the first time in months, BlackRock’s Ethereum purchases have outpaced its Bitcoin acquisitions, signaling a potential rotation of institutional interest toward the second-largest cryptocurrency by market cap.
Is BlackRock Pivoting from Bitcoin to Ethereum?
According to data from Arkham Intelligence, BlackRock’s appetite for Ethereum appears to be growing while its Bitcoin accumulation slows. The firm has recently acquired $156 million worth of ETH, compared to $125 million in BTC over the same period.
While BlackRock has not publicly confirmed the intent behind these purchases, they are likely tied to its Bitcoin and Ethereum exchange-traded funds (ETFs). Notably, BlackRock’s Bitcoin ETF previously surpassed 700,000 BTC in holdings as institutional demand surged. The ETF quickly became the firm’s third most profitable fund, crossing the $70 billion mark in just 341 trading days—an industry record.
Despite this success, BlackRock has been steadily increasing its Ethereum holdings since the beginning of Q2. In June, reports surfaced suggesting the firm was reallocating capital—selling portions of its Bitcoin exposure to accumulate more ETH. BlackRock’s ETH ETF has since recorded 12 consecutive days of net inflows.
At the time of writing, Ethereum is nearing the $3,000 threshold, posting a 6% gain in the past 24 hours. Meanwhile, Bitcoin remains resilient, recently reaching an all-time high of $113,000, showing little impact from BlackRock’s pivot.
Ethereum Treasury Holdings Gain Momentum
Ethereum-focused treasury strategies are also gaining traction, mimicking a trend once dominated by Bitcoin. SharpLink Gaming has expanded its ETH treasury to 205,634 ETH, while GameSquare has accumulated 1,818 ETH to support its operations.
In a bold move, Bit Digital recently converted its entire Bitcoin treasury to Ethereum. This growing shift of institutional capital into ETH has reignited debates over whether Ethereum could challenge Bitcoin’s long-standing dominance.
Tesseract CEO James Harris forecasts a 160% surge in Ethereum’s price by year-end. Meanwhile, Bitmex co-founder Arthur Hayes has predicted a short-term rally that could propel ETH to $10,000—fueled largely by institutional inflows.
