Ethereum BUIDL Fund Hits $1.87B: $2.5K ETH Rally Now Loading?

Key Insights:

• BlackRock’s Ethereum-based BUIDL fund has surged to $1.87 billion, nearly tripling in three weeks.
• Ethereum dominates the Real World Asset (RWA) sector, holding over 80% of the market share.
• Ethereum’s improving fundamentals—rising TVL could position ETH for a potential rally to $2,500 and beyond.

BlackRock’s Ethereum BUIDL fund surges to $1.87B. With whale accumulation, TVL growth, and Pectra upgrade optimism, ETH could be preparing to reclaim the $2.5K mark.

Ethereum BUIDL Bet Triples in 3 Weeks

Token Terminal reports that BlackRock’s Ethereum-based BUIDL fund has surged to $1.87 billion this week. This marks a significant increase in its value. The fund has nearly tripled in just three weeks.

The sharp increase in capital allocation has renewed attention on ETH’s role in the Real World Asset (RWA) sector.

Ethereum now holds over 80% of the total Real World Assets (RWA) market share, according to data from RWA.xyz. This positions Ethereum significantly ahead of competing blockchains such as Solana and Avalanche.

Ted Pillows posted a chart showing the steep rise in BUIDL’s ETH deployment. This suggested mounting institutional interest.

“Ethereum is the #1 chain. If you like it or not,” he added.

Whales Accumulate $32M in ETH Amid Weak Retail Sentiment

While retail sentiment remains muted, institutional and whale wallets have stepped up their activity. According to Crypto Rover, four Ethereum whale wallets accumulated 15,933 ETH worth $32.04 million this week.

Mister Crypto noted that retail interest in ETH remains “extremely low.” That trend often precedes a sentiment reversal, especially when paired with large-scale accumulation from deep-pocketed investors.

According to Glassnode, Ethereum balances on centralized exchanges fell to 16.9 million ETH on March 25. This figure is just 3.5% higher than a five-year low. This suggests long-term holders are moving funds into self-custody, signaling reduced sell pressure.

TVL Growth and Pectra Upgrade Build Bullish Foundation

Ethereum’s total value locked (TVL) rose 10% over the past month to $52.5 Billion, according to DefiLlama. In contrast, Solana’s TVL dropped 8% over the same period, highlighting the continued DeFi dominance of ETH.

Notable growth came from Sky (formerly MakerDAO), with a 17% increase in deposits, and Ethena, which saw a 38% TVL surge. At the protocol level, developers are preparing for the Pectra upgrade between late April and early June.

The upgrade will bring smart accounts and batch transactions into play while expanding block data capacity. These enhancements are designed to reduce gas fees and improve scalability.

ETH Price Eyes $2.5K, but Sentiment Remains Split

Ethereum reclaimed the $2,000 level on March 24, now trading around $2,060. It remains 18% below the $2,500 high from earlier this month.

Arthur Hayes, co-founder of BitMEX, set a $5,000 target for ETH. However, options markets show little confidence in that scenario. A $5,000 call option for September 26 traded at just $35.40, indicating low market odds.

Despite this, several traders point to short-term bullish setups. Crypto Patel noted a bullish displacement at $2,064, projecting a rally to $2,128. He cited a mitigation block as the key demand zone behind the move.

Time Freedom drew parallels between the current structure of ETH and its 2018–2020 cycle. According to him, the recent breakdown resembles past setups that preceded strong upside moves.

Şeyma warned that a daily close below $1,932 would break the bullish structure. However, she added that closes above $2,200 could trigger targets at $2,770 and $3,300.

XForceGlobal joined the bullish camp, predicting a 40–70% rally in the coming weeks. He expects Ethereum to retest $3,000, even under conservative scenarios.

Ethereum’s Narrative Strengthens—But Risks Remain

Despite optimism, Ethereum still underperforms the broader altcoin market. Cointelegraph reported that ETH trailed altcoins by 14% over the past 30 days.

Yet fundamentals are improving. Declining exchange supply, rising DeFi deposits, and renewed whale activity suggest a long-term bullish setup.

If the Pectra upgrade is successfully implemented, Ethereum’s performance and scalability could be enhanced. With continued institutional inflows, ETH might soon reclaim the $2,500 level.

Still, as analyst Inmortal warned, Ethereum has ranged between $2,000 and $4,000 for over 1,500 days. A breakout will require more than sentiment.

Disclaimer

This article is for informational purposes only and provides no financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your research before making any financial decisions.