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Ethereum hits $4,885 for new all-time high price

The previous high was set in November 2021.

Sage D. Young

Following hints from Fed Chair Jerome Powell that the central bank would likely cut rates in September, ethereum finally rallied to a new record high of $4,885, pushing past its previous record of $4,878 set in 2021. 

The second-largest cryptocurrency has been flirting with a new all-time high for weeks as public companies like BitMine scoop up billions of dollars’ worth of tokens and as ethereum spot ETFs see a growing swell of inflows

Clearer US regulatory policy regarding cryptocurrency has also boosted the token. President Donald Trump signed the GENIUS Act into law in July bringing regulations for stablecoin issuance, a move expected to boost the ethereum ecosystem, which has the largest supply of stablecoins among all blockchain networks. 

Year to date, ethereum has jumped over 40%, outpacing its older sibling bitcoin, which has risen roughly 24% this year. The market capitalization of ethereum, at over $587 billion, is now larger than streaming giant Netflix ($512 billion) and payments heavyweight Mastercard ($540 billion). 

“Ethereum is approaching a potential breakout moment past its previous all-time high, driven by a convergence of bullish catalysts,” according to Le Shi, managing director at crypto trading firm Auros. Shi pointed to a number of macro conditions, including anticipated Fed rate cuts, record-high S&P 500 levels, bitcoin’s own rally, and the GENIUS Act’s impact on accelerating traditional finance’s adoption of ethereum.  

“One of the market’s hottest themes is the rise of crypto treasury companies. Following Strategy’s lead in bitcoin, attention has shifted to ethereum-focused treasuries such as BitMine Immersion Technologies, SharpLink, and Bit Digital, which are rapidly gaining mindshare among both crypto-native and TradFi participants,” Shi told Sherwood News. 

The deployable capital held by ethereum treasury firms like BitMine, SharpLink Gaming, and Bit Digital “represent a significant potential driver of ethereum market activity,” Shi added. 

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Solana ETFs listings delayed as JPMorgan predicts the funds to net $1.5 billion in first year

JPMorgan analysts noted that “solana is not perceived by investors the same way as ethereum as the main DeFi/smart contract cryptocurrency.”

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BlackRock’s bitcoin ETF is on the cusp of $100 billion in assets, a milestone it will have achieved in less than two years

While VOO might be the largest ETF in the world, IBIT — BlackRock’s iShares Bitcoin Trust ETF — is the fastest-growing. And the bitcoin-centered product is on the cusp of a major milestone, reporting that it now holds 802,257 BTC, putting it within a whisker of hitting $100 billion in assets (worth roughly $99 billion in good old-fashioned USD at the time of writing).

Considering that BlackRock’s iShares Bitcoin Trust launched only 636 days ago, that’s a remarkable speedrun, as individual and institutional investors have embraced cryptocurrency via the exchange-traded fund. For context, VOO took over 2,900 days to hit the same milestone (about eight years).

VOO vs. IBIT spead to $100 billion assets under management
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As noted in a great piece by Robin Wigglesworth in the Financial Times, IBIT is now a major money-spinner for one of the biggest stalwarts of TradFi. As the largest exchange-traded product in the crypto space, and with a not insignificant expense ratio of 0.25%, the ETF is pulling in somewhere in the region of $250 million of revenue for its asset manager parent company. As Wigglesworth puts it:

“Anyway, it’s heartwarming to see that one of the companies profiting the most from an anarchical, decentralised invention supposedly designed to reorder the global financial system is... BlackRock.”

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Bitcoin ETFs take in more than $2 billion in two days

Bitcoin is down 2.7% from its recent record which saw it passing $126,000, but bitcoin ETFs are still hot.

The ETFs have already amassed more than $2 billion this week, on track to surpass last week’s $3.2 billion in inflows. In total, bitcoin ETFs have just under $165 billion in assets under management, representing 6.78% of the total market cap, SoSoValue data shows.

BlackRock’s iShares Bitcoin Trust by far took the lion’s share, with $1.8 billion of inflows. The fund is also close to $100 billion in assets, despite not even being 2 years old.

Bitwise CEO Matt Hougan said in a note, “The stars are aligned for a very strong Q4 for flows — more than enough to push us to a new record,” in part thanks to the “debasement trade.” 

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