Institutional capital is shifting toward Ethereum, with major developments signaling potential bullish momentum. The Harvard endowment reduced its Bitcoin ETF holdings while adding an $87 million position in BlackRock’s Ether ETF. BlackRock amended its Staked Ethereum ETF proposal, and Ethereum continues to dominate the burgeoning $20 billion real-world asset tokenization sector, indicating growing institutional focus on security over fees.
Ether has struggled to reclaim $2,500 since late January, leading traders to question what could drive sustainable momentum. Three distinct events may signal the end of the recent bear cycle, according to market analysis.
While spot Ether ETFs saw $327 million in net outflows in February, this represents less than 3% of their total assets under management. Recent strategic developments from the world’s largest asset managers could quickly flip investor risk perception.
The Harvard endowment fund added an $87 million position in BlackRock’s iShares Ethereum Trust in Q4 2025 while reducing its iShares Bitcoin Trust holdings. This reallocation highlights a notable vote of confidence in Ethereum products.
In parallel, BlackRock amended its Staked Ethereum ETF proposal to include retaining 18% of staking rewards as service fees. The product maintains a relatively low 0.25% expense ratio, which is seen as a net positive for mainstream access.
Ethereum’s leadership in real-world asset tokenization, a sector surpassing $20 billion, provides further evidence of institutional adoption. The network hosts major offerings from BlackRock, JPMorgan, Fidelity, and Franklin Templeton.
Nearly half of the $13 billion in RWA deposits on Ethereum represent tokenized gold, while investments in US Treasurys and bonds grew to $5.2 billion. The combined RWA listings on BNB Chain and Solana amount to $4.2 billion, indicating institutions prioritize Ethereum’s security.
Rather than backing consumer applications, investors are now directing capital toward RWA infrastructure and institutional trading platforms. These shifts toward market maturation indicate a bounce back to $2,500 for ETH is feasible in the near term.
