Ethereum Gains Institutional Momentum as Major Players Deploy Hundreds of Millions

Major Institutional Moves Signal Growing Confidence

Ethereum has experienced renewed institutional interest, with spot exchange-traded funds recording approximately $500 million in net inflows over the past week ^[1]. Wednesday, January 14, alone saw $175.1 million enter these investment vehicles, representing the largest single-day ETF inflow of 2026 and the highest level since December 2025 ^[1].

The cryptocurrency climbed 6.7% over the past week, briefly touching the $3,400 mark on Wednesday before pulling back to approximately $3,291 as of early January 17 ^[1]. Trading volume declined 21% to $20.5 billion over a 24-hour period, suggesting a quieter consolidation phase ^[1].

Wall Street Veteran Makes $65 Million Bet

BitMine, led by Wall Street strategist Tom Lee, recently purchased $65 million worth of Ethereum, demonstrating continued institutional confidence despite market fluctuations ^[1]. The firm has substantially expanded its holdings and now controls 4.17 million ETH valued at approximately $13.8 billion, making it a leading corporate Ethereum holder ^[2].

This acquisition reflects broader institutional recognition of Ethereum's applications across decentralized finance, non-fungible tokens, and tokenized assets, according to market analysis ^[1]. Such moves may contribute to price stability during volatile market conditions ^[1].

Mystery Whale Deploys $900 Million Across Crypto

A major cryptocurrency investor identified as a "Hyperunit Whale" by blockchain analytics platform Arkham has increased their Ethereum long position by an additional $66.2 million ^[2]. This whale's total ETH long position now stands at approximately $733.3 million, while their combined long positions across Ethereum, Solana, and Bitcoin exceed $900 million ^[2].

The investor's overall portfolio was valued at roughly $3.33 billion at the time of reporting, with the largest allocation being approximately 30,664 Bitcoin worth around $2.91 billion ^[2]. The portfolio also included about 126,425 AETHWETH valued at approximately $415 million, plus smaller holdings in other tokens ^[2]. Details regarding leverage or liquidation levels for these long positions were not disclosed ^[2].

This individual Bitcoin holding exceeds that of most Bitcoin treasury companies, with only MicroStrategy, MARA Holdings, Twenty One Capital, and Metaplanet maintaining larger corporate Bitcoin reserves ^[2].

Technical Outlook and Key Levels

Ethereum is currently consolidating above the $3,070 support zone, which aligns with the 50-day Simple Moving Average ^[1]. The cryptocurrency has successfully reclaimed this technical level after rebounding from the $2,750–$2,850 demand area, forming a higher low pattern on daily charts ^[1].

The 200-day Simple Moving Average at $3,654 represents a critical overhead resistance level, with multiple rejections near this price point indicating active seller presence ^[1]. The Relative Strength Index currently reads around 60.79, positioned above the neutral 50 level but below overbought territory, suggesting building bullish momentum with room for further upside ^[1].

Analysts suggest Ethereum could attempt a move toward the $3,350–$3,450 resistance zone, with a daily close above this area potentially opening the path to retest the 200-day moving average near $3,650 ^[1]. However, failure to maintain support above the 50-day moving average could trigger profit-taking and push prices back toward $2,850 ^[1].

Ethereum ETF Momentum Builds

Despite the substantial institutional inflows, Ethereum has not achieved a sustained decoupling from Bitcoin's price movements in recent weeks ^[2]. The $479 million in net inflows to Ethereum spot ETFs this trading week nonetheless represents significant institutional appetite for exposure to the second-largest cryptocurrency ^[2].