Bitcoin Hits $126,198, Boosting Ethereum Price
Bitcoin, the largest cryptocurrency by market cap, reached a new high of $126,198 today. This rise helped Ethereum’s price climb above $4,700 after nearly a month. At the time of writing, Ethereum trades at $4,711. It has been consolidating around this level for two months, forming a bullish flag pattern.
Following Bitcoin’s momentum, Ethereum’s price surged 4.66% from the previous day. According to CoinMarketCap, Ethereum is now just 5% below its all-time high of $4,953 reached on August 25. Analysts expect this breakout to push Ethereum to new highs. The Relative Strength Index (RSI) stands at 63, indicating bulls are in control with room to grow.
Whale Activity Drives Ethereum Surge
Whale buying appears to have influenced Ethereum’s recent price rise. Crypto analyst Ali reported on X that whales purchased 800,000 ETH in the past week. This equals over $3.6 billion and represents 25% of Ethereum’s circulating supply.
Investor interest in Ethereum ETFs is also growing. Since the start of the month, more than $1 billion has flowed into these funds. Meanwhile, Ethereum held on exchanges has dropped to a nine-year low of about 16.1 million coins. This suggests investors are moving ETH to private wallets, lowering the chances of selling.
Grayscale Launches Staking-Enabled Crypto ETFs in the U.S.
Grayscale recently launched spot crypto ETFs in the U.S., including the Ethereum Trust ETF (ETHE), Ethereum Mini Trust ETF (ETH), and Solana Trust (GSOL). These products offer staking features, allowing investors to earn rewards while holding cryptocurrencies.
Peter Mintzberg, CEO of Grayscale, said, “Staking in our spot Ethereum and Solana funds is exactly the first mover innovation Grayscale was built to deliver. As the world’s #1 digital asset-focused ETF issuer by AUM, we believe our trusted and scaled platform uniquely positions us to turn new opportunities like staking into tangible value potential for investors.”
The ETFs manage over $8.25 billion in assets for U.S. clients. Grayscale will stake assets through a network of custodians to ensure transparency. Staking lets investors earn passive rewards from proof-of-stake blockchains while keeping holdings accessible via brokerage accounts.
