- Wall Street is increasingly turning to Ethereum, with SharpLink Gaming investing $425 million and BlackRock’s ETF accumulating billions in ETH.
- As Ethereum outperforms Bitcoin and gains dominance, analysts believe it could trigger the next altseason if key resistance levels are broken.
Ethereum has just got another tap from Wall Street. Notably, major institutions are leaning more towards the second-largest cryptocurrency. This support has made many to believe/speculate that a full blown altseason may be on the horizon.
Ethereum’s institutional adoption has elevated after a publicly traded U.S. company SharpLink Gaming committing hundreds of millions of dollars to Ethereum, designating it as the firm’s primary treasury asset.
This comes as a surprise to many as its a notable deviation from the usual Bitcoin-first strategy seen among corporate players.
SharpLink’s $425 million private share sale, led by Ethereum infrastructure firm ConsenSys and co-founder Joseph Lubin, marks a strategic shift in institutional confidence toward ETH. Backed by heavyweight investors like Pantera Capital, Galaxy Digital, and Electric Capital, this move underscores Ethereum’s evolving role in corporate finance.
Following the announcement, SharpLink shares skyrocketed 600%, while Ethereum gained 8%, hitting $2,700 and reaching a $326 billion market cap.
Meanwhile, at the time of press, ETH’s price has tanked 0.46% in the past 24 hours with a current market price of $2,627.62.
Altseason Beckons as Bitcoin Dominance Dips
This institutional endorsement comes at a critical time. Bitcoin dominance recently fell after rejection at the 64.4% level, signaling a potential capital rotation into altcoins. Ethereum, often the lead beneficiary of such shifts, outperformed the broader market with a 3.2% gain, while the overall crypto market cap declined.
According to popular trader Astronomer, ETH’s recent performance and falling BTC dominance could be early signs of an incoming altseason.
Rejection 64.4% initiated ✅️
Only seems like a small move but $ETH is up 4% whilst $BTC is only up 0.75% today.$BTC.D dropping has a large impact.
If only $ETH and $BTC existed (no other alts, no stables), and $BTC.D drops from 65% to 30%, whilst (as per usual when… https://t.co/U9KonolAwK pic.twitter.com/hKqN3BvF6P
— Astronomer (@astronomer_zero) May 27, 2025
Ethereum’s momentum is also visible in the derivatives market. Data from Coinalyze shows a 6.5% increase in ETH open interest in the past 24 hours, driven primarily by perpetual contracts. This signals rising speculative interest and growing investor confidence, particularly as ETH attempts to break through its resistance level at $2,700, a threshold it has tested twice in the past week.
However, the situation remains fragile. Glassnode data reveals that around $123 billion in ETH is held by investors who bought between $2,300 and $2,500. With ETH hovering near this range, even minor price dips could push a significant chunk of supply into loss, triggering potential sell pressure.
The largest share of #ETH market cap – $123B – sits just 0–20% above cost basis. That cohort swelled from $2.3K to $2.5K, meaning even a modest price drop could flip a large chunk of supply into loss.
Despite recent gains, $ETH remains in a fragile position. pic.twitter.com/5Ay5Jx5Qv5— glassnode (@glassnode) May 27, 2025
Still, Ethereum dominance appears to be stabilizing around the 9% mark. Analyst ‘Rekt Capital’ suggests this could set the stage for a more sustained ETH-led rally. Furthermore, retail sentiment has begun to flip bullish, according to Market Prophit, with ETH nearly doubling in value since April.
$ETH Dominance
Ethereum Dominance is showcasing initial signs of trying to hold the ~9% level as support (green circle)
If it can continue to do this, then Ethereum may become more market-dominant in June#ETH #Crypto #Ethereum https://t.co/TkGchN2uQG pic.twitter.com/As4qkkWMcD
— Rekt Capital (@rektcapital) May 27, 2025
Adding to the bullish narrative, BlackRock’s spot Ether ETF, ETHA, continues to attract institutional capital. With over $32 million added on May 27 alone and zero outflows in 13 straight trading sessions, the fund has accumulated $4.4 billion in ETH—far outpacing competitors.
While retail participation has lagged, the smart money appears to be betting big on Ethereum. If ETH breaks convincingly above $2,700 and sustains momentum, this wave of institutional interest could indeed be the spark that lights the altseason fire.