TLDR
- Tom Lee predicts that Ethereum price could rise to $5,500 due to increasing institutional and whale interest.
- Ethereum ETFs have seen a surge in inflows, with over $1.3 billion added in just four days.
- Companies like BitMine and SharpLink continue to accumulate Ethereum, pushing the price higher.
- One whale purchased $164 million worth of Ethereum, signaling strong market confidence.
- Rising open interest in Ethereum futures shows growing demand and supports a bullish price outlook.
Ethereum price has been climbing steadily, recovering losses from earlier this week. At $4,645, Ethereum is up by 235% from its year-to-date low. Tom Lee, the renowned Wall Street analyst, sees more upside potential for Ethereum, predicting that its price could soar to $5,500 soon.
Wall Street Analysts and ETF Inflows Boost Ethereum Price
Tom Lee points to increasing Ethereum ETF inflows as a key driver for its price growth. On Tuesday, spot Ethereum ETFs added $455 million in assets, surpassing the previous day’s total. Over the past four days, these ETFs have brought in more than $1.3 billion in assets, increasing the total inflows to $13 billion.
Lee believes this growing institutional interest is a sign that Ethereum price has room to rise further. He states, “As Wall Street continues to accumulate Ethereum, the price will benefit from this institutional push.” The continuous demand from institutional investors is helping to propel the ETH price higher.
Moreover, corporate accumulation is another factor driving the ETH price upwards. Companies such as BitMine, The Ether Machine, and SharpLink are aggressively acquiring Ethereum, emulating MicroStrategy’s strategy with Bitcoin. BitMine, for example, holds 1.53 million ETH, worth over $7 billion. Together, these companies control more than 3.37 million ETH tokens, adding to the bullish sentiment.
Whale Purchases and Rising Futures Open Interest Support $5,500 Target
Ethereum price could rise to $5,500 due to rising whale purchases. One whale bought $164 million worth of Ethereum this week, signaling strong confidence in the ongoing rally. These large-scale purchases indicate that whales expect further upward momentum for the ETH price.
In addition to whale buying, derivative data shows increasing demand for Ethereum in the futures market. According to CoinGlass, the open interest for Ethereum futures reached $63.7 billion on Wednesday. This is higher than previous days, indicating growing interest in Ethereum, which could drive the price even higher. Rising open interest, along with low liquidations and a positive funding rate, suggests that the ETH price could continue to rally.
