- Goldman Sachs, Millennium, and Jane Street scooped up over $900M in ETH during Q2, showing growing Wall Street confidence in Ethereum.
- Exchange balances have dropped under 13M ETH, the lowest in years, leaving less supply on the market as demand builds.
- Ethereum’s market cap slid from $560B to $500B in a week.
Major institutions boosted their Ethereum holdings in Q2 2025,but exchange balances fell to historic lows. This combination of rising demand and tightening supply could reshape ETH’s next market cycle.
Big Institutions Move In
Institutional filings from Q2 reveal heavy buying of Ethereum exposure through ETHA shares. According to data shared by BitBull, Goldman Sachs led the charge with $600 million in new holdings, lifting its stake to over 24.9 million shares. Millennium Management added $191 million, while Jane Street followed with $124 million.
Other players, including Citadel Advisors and UBS, also entered the market, alongside Capula Management and Schonfeld Strategic Advisors, both raising their stakes. Smaller firms like Clear Street, Logan Stone Capital, and Marathon Asset Management added fresh positions as well. The data shows broad institutional appetite, with positions increasing across the board.
This coordinated buying spree follows Ethereum’s sharp Q2 correction, suggesting that the pullback may have offered favorable entries for big players. In total, filings point to billions of dollars in institutional inflows.
Exchange Balances Hit Record Lows
Alongside this, supply dynamics are shifting. According to data highlighted by analyst Ted Pillows, ETH balances on exchanges dropped from over 33 million in 2020 to under 13 million in mid-2025.
Historically, such declines have aligned with price rallies. When fewer coins are left on exchanges, selling pressure tends to ease. Back in 2020–2021, exchange balances also dropped sharply, and that period lined up with Ethereum’s powerful rally past the $4,000 mark.
The latest decline reinforces this pattern, with supply tightening as accumulation increases. Investors appear more inclined to hold ETH off exchanges, reducing the liquid supply available for sale.
Market Structure and Outlook
Despite recent swings, Ethereum’s broader setup still looks strong.Market cap slide from August highs near $560 billion to around $500 billion, marking a sharp seven-day drop. Lower highs and sharp intraday swings confirmed a bearish short-term bias.
Still, long-term indicators remain supportive. The trend of declining exchange balances, combined with institutional buying, suggests Ethereum is positioned for resilience. The next test will be whether ETH can defend the $500 billion market cap zone before staging another push higher.
