Ethereum Hits New All-Time High
Ethereum’s native token, Ether (ETH), surged to a new all-time high on Friday, breaking above $4,870 on Coinbase for the first time since November 2021. The rally is being fueled by a mix of macroeconomic tailwinds, renewed institutional interest, and growing demand for Ether-based financial products.
ETH Up Over 250% Since April Lows
Ether has now rebounded more than 250% since hitting a low of $1,385 in April, gaining roughly 14% on Friday alone. The move followed comments from Federal Reserve Chair Jerome Powell, who signaled a possible interest rate cut during his speech at the Jackson Hole Symposium.
“With policy in restrictive territory, the baseline outlook and the shifting balance of risks may warrant adjusting our policy stance,” Powell said, hinting at potential easing in the months ahead.
A more dovish Fed typically benefits risk assets like cryptocurrencies, as looser monetary policy increases liquidity across financial markets.
Institutional Inflows into Ether ETFs Reignite Rally
Adding to the bullish momentum, U.S.-listed Ethereum ETFs saw renewed inflows last week. On August 21, Ether-focused funds attracted $287.6 million—their first significant inflow after four days of outflows.
As of Friday, total assets under management across Ether ETFs surpassed $12.1 billion, according to data from Farside Investors.
At the same time, corporate treasuries have been aggressively accumulating ETH. Over the past month, firms like BitMine, SharpLink, Bit Digital, BTCS, and GameSquare have collectively added around $1.6 billion in ETH to their balance sheets. Those holdings are now valued at over $29.75 billion, based on data from StrategicETHReserve.xyz.
“Ether is increasingly viewed as a utility-rich reserve asset rather than just a speculative investment,” said Ray Youssef, CEO of financial app NoOnes.
Analysts See $5K as the Beginning—Targets Raised as Demand Outpaces Supply
Several analysts believe this breakout could be the start of a larger move. Standard Chartered has revised its year-end ETH target to $7,500, with a long-term projection of $25,000 by 2028. Other analysts see potential for ETH to reach $13,000 in the coming months.
According to data from Hyblock, ETH’s demand is currently outpacing supply—even at record prices.
“Typically, all-time highs bring selling pressure from long-time holders, but current demand appears strong enough to absorb it,” Hyblock analysts noted. “ETF inflows, corporate buying, and favorable policy signals are creating a perfect storm for Ethereum.”
Bitcoin Dominance Drops Below 60%, Fueling Altseason Narrative
Ethereum’s rise is also reshaping the broader crypto market landscape. Bitcoin’s dominance—its share of the total crypto market cap—fell below 60% last week for the first time since March, signaling a rotation into altcoins.
At its 2025 peak, BTC had controlled 66% of the crypto market. Now, investors appear to be shifting capital toward large-cap alternatives like Ethereum, seeking stronger returns amid favorable conditions.
Recent fund flow data supports this trend:
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Ethereum products attracted $2.86 billion in the week ending August 15
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Bitcoin products saw just $552 million in inflows
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Month-to-date, ETH funds are up $2.96 billion, while BTC funds have seen $21 million in outflows
The Bottom Line
With a dovish Fed, resurgent ETF flows, and growing institutional adoption, Ethereum is enjoying a strong narrative and technical momentum. Breaking past its previous record high is not just a symbolic milestone—it may be a launchpad for significantly higher price levels in the months ahead.
Featured image from: reddit.com