BlackRock Expands Cryptocurrency Portfolio with Substantial Ethereum Acquisition
In a significant move within the cryptocurrency sector, BlackRock (NYSE: BLK), the world’s leading asset manager, has made a notable investment in Ethereum (ETH), acquiring over $1 billion worth of the digital asset in just 48 hours. This strategic acquisition underscores BlackRock’s commitment to expanding its influence in the cryptocurrency market.
Record-Breaking Ethereum Purchase by BlackRock
According to on-chain data, July 17 marked a milestone for BlackRock’s Ethereum exchange-traded fund (ETHA), which experienced its largest single-day net inflow, securing 148,585 ETH valued at approximately $510 million. This buying trend continued on July 18 as BlackRock acquired an additional 158,875 ETH worth $574 million. In total, the firm amassed 307,461 ETH, equating to an impressive $1.11 billion over the two-day period, as per Lookonchain’s data reported by Finbold on July 19.
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As a result of this accumulation, BlackRock’s total Ethereum holdings have skyrocketed to 2.46 million ETH, equivalent to $8.9 billion as of July 18.
Dominance in Ethereum ETF Inflows
BlackRock’s substantial Ethereum purchases have significantly impacted the Ethereum ETF market. By the close of trading on July 18, Ethereum spot ETFs witnessed a collective net inflow of $402.5 million. BlackRock’s ETHA was at the forefront, with $394.9 million in inflows, representing nearly 98% of the total net inflows, reinforcing its leadership status for the second consecutive day. While Bitwise and VanEck recorded minor inflows, Fidelity and Grayscale experienced outflows.
On July 17, Ethereum ETFs reported surpassing $5.5 billion in total inflows, with over $3.3 billion amassed since mid-April. Bloomberg analyst James Seyffart partially attributes this surge to Ethereum’s basis yield reaching double digits for the first time since December 2024, alongside an increase in open interest in CME ETH futures.
The growing interest from institutional investors has positively influenced Ethereum’s price trajectory, currently encountering long-term resistance at the $4,000 mark.
Ethereum Price Analysis and Market Outlook
Currently, Ethereum, the second-largest cryptocurrency by market capitalization, is trading at $3,553, reflecting a 1.5% decline over the past 24 hours. However, on a weekly scale, ETH has appreciated nearly 20%.
Looking forward, Ethereum has the potential to breach the $4,000 threshold if the prevailing bullish sentiment continues. The immediate price objective is to surpass the resistance zone between $3,700 and $3,800.
In summary, BlackRock’s strategic acquisition of Ethereum highlights the growing acceptance and integration of cryptocurrencies within mainstream financial portfolios. As institutional demand rises, Ethereum’s price and market influence are poised for further growth.
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