Ethereum’s Price Decline and Institutional Interest

Ethereum’s price plunged 50% in three months amid massive ETF outflows.
Institutional confidence grows as BlackRock’s BUIDL fund raised ETH holdings to $1.145B.

Ethereum (ETH) has faced a severe downturn in 2025, with its price dropping nearly 50% in just three months—from $4,100 in December 2024 to around $1,750 by March. This drastic decline aligns with substantial outflows from U.S.-listed ETH ETFs, which have seen over $760 million exit in the past month.

Meanwhile, Bitcoin (BTC) continues to capture investor interest, with Bitcoin ETFs attracting $785 million in fresh capital over just six days.

As Ethereum struggles to stabilize, questions about its long-term position in the digital asset landscape are amplifying.

BlackRock’s BUIDL Funds Hold Over $1B in ETH

Despite its price challenges, Ethereum is experiencing a notable increase in institutional interest. BlackRock’s BUIDL fund has raised its ETH holdings to a record $1.145 billion—up from $990 million a week earlier—indicating growing confidence in Ethereum’s future value.

This fund, which primarily focuses on tokenized real-world assets (RWAs), maintains ETH as its principal base layer while diversifying into networks like Avalanche, Polygon, Aptos, Arbitrum, and Optimism. The fund’s total assets under management have also surged by 15%, reaching $7.63 billion as of March 22, underscoring institutional commitment to Ethereum’s prospects.

Whale Accumulation Strengthens ETH’s Bullish Outlook

Ethereum’s positive momentum is further supported by increased whale accumulation, reflecting growing confidence among significant investors. On-chain data from Nansen Research shows that since March 12, wallets holding between 1,000 and 10,000 ETH have increased their holdings by 5.65%, while those with 10,000 to 100,000 ETH have accumulated 28.73% more. Although addresses with more than 100,000 ETH have remained stable, this broader accumulation trend emphasizes strong conviction from institutional and high-net-worth investors.

This rise in demand among whales suggests robust long-term prospects for Ethereum, setting the groundwork for a sustained upward trend.

Community Reaction

Commenting on the situation, an X (formerly Twitter) user-Belle remarked,
> “It’s obvious where $ETH is headed next.”
In summary, this assessment highlights the ongoing interest and potential future direction for Ethereum.