By Matt Hougan , Chief Investment Officer at BitWise Compiled by: Tim, PANews This article will analyze why the price of ETH has risen and why it will continue toBy Matt Hougan , Chief Investment Officer at BitWise Compiled by: Tim, PANews This article will analyze why the price of ETH has risen and why it will continue to

BitWise Chief Investment Officer: Bulls crush bears, ETH prices will continue to rise

2025/07/23 12:15

By Matt Hougan , Chief Investment Officer at BitWise

Compiled by: Tim, PANews

This article will analyze why the price of ETH has risen and why it will continue to rise in the coming months.

Ethereum is experiencing explosive growth. After falling for the first four months of this year, it has now rebounded strongly. It has risen by more than 50% in the past month and has soared nearly 150% since its low in April.

Why? The demand for ETFs and public companies is huge.

Additional background:

The continued rise in Bitcoin prices over the past 18 months stems from a simple fact: the amount of new Bitcoin purchased by ETPs and corporate funds has exceeded the total new supply of Bitcoin during the same period.

Let's look at a set of data comparisons: Since the listing of Bitcoin ETPs in January 2024, listed company treasuries and ETP institutions have purchased a total of 1.5 million Bitcoins, while the number of new Bitcoins produced by mining on the entire network during the same period was only 300,000.

Demand is five times the supply. Sometimes it's just that simple: supply imbalance.

Until recently, Ethereum has not enjoyed the same market heat. Ethereum ETP was launched in July 2024, but the market was initially cold. As of May 15, 2025, Ethereum ETP has only purchased 660,000 ETH (corresponding to approximately $2.5 billion in capital inflows).

​​At the same time, there is no iconic large Ethereum reserve company at all. ​​

Ethereum issued a net increase of 543,000 ETH during this period, which is basically in line with market demand. No wonder the price of ETH is moving sideways (and downward)!

But a turning point occurred in mid-May. Since May 15, Ethereum spot ETP has continued to be popular, attracting more than $5 billion in funds. Companies have also entered the market, and companies such as Bitmine and SharpLink have announced that they will include Ethereum in their corporate treasury allocations.

BitWise Chief Investment Officer: Bulls crush bears, ETH prices will continue to rise

According to our estimates, ETPs and corporate treasuries have purchased a total of 2.83 million ETH (worth over $10 billion at current prices) since May 15, which is 32 times the net new supply of ETH during the same period.

No wonder the price of Ethereum has skyrocketed!

The right question to ask at this point is: Will this continue? I think the answer is yes.

ETP investors' allocation to Ethereum is still significantly lower than that to Bitcoin: although ETH's market capitalization is approximately 19% of BTC, the total size of Ethereum ETP is less than 12% of Bitcoin ETP.

As market interest in stablecoins and tokenization surges, we expect inflows into Ethereum ETPs to remain strong over the long term.

At the same time, there are signs that the trend of "ETH Treasury companies" will accelerate. The reason for this is whether the stock market value of these companies is higher than the value of the crypto assets they hold, and currently ETH Treasury companies do have this premium.

Full speed ahead!

Looking ahead, I expect ETPs and asset managers to purchase $20 billion worth of Ethereum next year, which is approximately 5.33 million ETH at today's price, while the Ethereum network is expected to produce approximately 800,000 ETH during the same period.

ETH is obviously different from BTC in that its price is not determined solely by supply and demand, nor does it have the fixed mining limit of Bitcoin. But at present, this is not important.

In the short term, the price of any commodity is determined by supply and demand, and the current market demand for ETH has significantly exceeded the new supply.

All in all, I think we will continue to rise.

Market Opportunity
BULLS Logo
BULLS Price(BULLS)
$318.57
$318.57$318.57
-1.80%
USD
BULLS (BULLS) Live Price Chart
Disclaimer: The articles reposted on this site are sourced from public platforms and are provided for informational purposes only. They do not necessarily reflect the views of MEXC. All rights remain with the original authors. If you believe any content infringes on third-party rights, please contact service@support.mexc.com for removal. MEXC makes no guarantees regarding the accuracy, completeness, or timeliness of the content and is not responsible for any actions taken based on the information provided. The content does not constitute financial, legal, or other professional advice, nor should it be considered a recommendation or endorsement by MEXC.

You May Also Like

Top Altcoins To Hold Before 2026 For Maximum ROI – One Is Under $1!

Top Altcoins To Hold Before 2026 For Maximum ROI – One Is Under $1!

BlockchainFX presale surges past $7.5M at $0.024 per token with 500x ROI potential, staking rewards, and BLOCK30 bonus still live — top altcoin to hold before 2026.
Share
Blockchainreporter2025/09/18 01:16
Robert W. Baird & Co. Discloses Core AI Design Parameters and Launches Public Testing of Baird NEUROFORGE™ Equity AI

Robert W. Baird & Co. Discloses Core AI Design Parameters and Launches Public Testing of Baird NEUROFORGE™ Equity AI

New York, United States (PinionNewswire) — Robert W. Baird & Co. (“Baird”) today announced the public disclosure of selected core system design parameters of its
Share
AI Journal2025/12/23 02:16
Best Crypto to Buy as Saylor & Crypto Execs Meet in US Treasury Council

Best Crypto to Buy as Saylor & Crypto Execs Meet in US Treasury Council

The post Best Crypto to Buy as Saylor & Crypto Execs Meet in US Treasury Council appeared on BitcoinEthereumNews.com. Michael Saylor and a group of crypto executives met in Washington, D.C. yesterday to push for the Strategic Bitcoin Reserve Bill (the BITCOIN Act), which would see the U.S. acquire up to 1M $BTC over five years. With Bitcoin being positioned yet again as a cornerstone of national monetary policy, many investors are turning their eyes to projects that lean into this narrative – altcoins, meme coins, and presales that could ride on the same wave. Read on for three of the best crypto projects that seem especially well‐suited to benefit from this macro shift:  Bitcoin Hyper, Best Wallet Token, and Remittix. These projects stand out for having a strong use case and high adoption potential, especially given the push for a U.S. Bitcoin reserve.   Why the Bitcoin Reserve Bill Matters for Crypto Markets The strategic Bitcoin Reserve Bill could mark a turning point for the U.S. approach to digital assets. The proposal would see America build a long-term Bitcoin reserve by acquiring up to one million $BTC over five years. To make this happen, lawmakers are exploring creative funding methods such as revaluing old gold certificates. The plan also leans on confiscated Bitcoin already held by the government, worth an estimated $15–20B. This isn’t just a headline for policy wonks. It signals that Bitcoin is moving from the margins into the core of financial strategy. Industry figures like Michael Saylor, Senator Cynthia Lummis, and Marathon Digital’s Fred Thiel are all backing the bill. They see Bitcoin not just as an investment, but as a hedge against systemic risks. For the wider crypto market, this opens the door for projects tied to Bitcoin and the infrastructure that supports it. 1. Bitcoin Hyper ($HYPER) – Turning Bitcoin Into More Than Just Digital Gold The U.S. may soon treat Bitcoin as…
Share
BitcoinEthereumNews2025/09/18 00:27