Since reaching its peak of $4,878 in 2021, Ethereum (ETH) has not been able to return to that level. However, market dynamics, increased interest from institutional investors, and scandals on rival blockchain networks could herald a new rise in Ethereum’s price. Analysts predict that the price of ETH could double by 2025.

The movements of major players in the crypto market are closely monitored. Significant institutional purchases for Ethereum (ETH) have been observed recently. World Liberty Financial, reportedly linked to Donald Trump, aggressively increased its ETH investments amassing a sum exceeding $200 million. Blockchain data reveals that the fund accelerated its ETH purchases from January 2025, continuing this process until February. Despite currently having an unrealized loss of around $52 million, the fund has not abandoned its ETH accumulation strategy, consistently buying more as the price drops below $3,000.

In addition to World Liberty Financial, interest in Ethereum ETFs from giant investment firms like BlackRock and Fidelity is growing. BlackRock’s iShares Ethereum Trust is the largest ETH ETF with a market value of $3.7 billion, followed by Grayscale at $3.5 billion and Fidelity at $1.1 billion. According to CoinGlass data, fund inflows for Ethereum ETFs have been gaining momentum since October 2024, reaching $428 million on December 5, 2024, and $307 million on February 4, 2025. These considerable investments highlight the confidence in ETH’s long-term potential. Solana scandals are increasing interest in Ethereum.

SOLANA SCANDALS FUEL INTEREST IN ETH Solana, one of Ethereum’s biggest rivals, has recently been associated with meme coin scandals. Token launches led by the Pump.fun platform, especially the LIBRA scandal, have caused a significant stir. After rumors that the LIBRA token, supposedly created to support Argentina’s economic reforms, was linked to fraudulent activities, it experienced a collapse. The issues with the Pump.fun platform have brought regulatory and ethical debates regarding the Solana ecosystem, strengthening Ethereum’s reputation as a more reliable blockchain. According to Artemis data, Ethereum has been the largest capital flow among all blockchains in the past seven days, with a net influx of $452 million, while Solana fell to fourth place with an influx of $82.9 million. Stabolut CEO Eneko Knörr states that Ethereum will continue to be the preferred chain for institutional investors despite competition from Solana and new generation blockchain projects. Knörr notes, “Ethereum stands out as the most reliable and sustainable option for institutional investors, even though it competes with Solana and next-gen blockchain projects.”

CAN THE $5,000 LEVEL BE REACHED? While Bitcoin (BTC) has managed to surpass all-time highs, Ethereum has not yet shown a sustained increase above $4,000. However, experts believe that, due to strong institutional demand and increasing adoption rates, the price could double by 2025. Zekret CEO Dmitrij Radin emphasizes Ethereum’s low volatility and long-term investor interest, stating, “Comparatively lower volatility than BTC makes ETH more attractive to investors. It is increasingly gaining support on social media, with jokes circulating about ETH turning into a stablecoin. All these signs indicate a strong interest in buying.” Meanwhile, Ethereum faces ongoing challenges. Disagreements between Ethereum’s founder Vitalik Buterin and the Ethereum Foundation raise some concerns within the developer community. Discussions on X (formerly Twitter) suggest the network needing a stronger leadership structure. However, technical developments within the Ethereum ecosystem are expected to positively impact prices. Thinh Porrmann, co-founder of Grindery, mentions that Ethereum’s upcoming Pecora upgrade will improve wallet functionality, especially with the EIP-7702 update. Another closely monitored factor in the market is Ethereum’s scalability issues. Solana and other new-generation blockchain projects consider Ethereum requiring Layer 2 solutions as a competitive disadvantage. Nevertheless, Ethereum’s dominance in decentralized finance (DeFi) and the size of its developer ecosystem place it as an advantageous contender against its rivals.