Ethereum bull run begins: Institutional funds become the biggest driving force

Recently, the price of Ethereum has been continuously rising, with institutional capital inflow possibly becoming the biggest driving force. Data shows that institutional interest in Ethereum is rapidly increasing, with multiple indicators reflecting bullish signals:

• The supply of stablecoins continues to grow, and the current supply of stablecoins on Ethereum has reached approximately $140 billion.
• The annual growth rate of on-chain real-world assets has reached 205%, with a current scale of 7.5 billion USD.
• The number of active loans on the Ethereum blockchain increased by 98%, reaching an all-time high.
• Ethereum's managed assets have reached an all-time high, with ETF net inflows reaching $5.7 billion.
• 43% of ETH supply is locked in smart contracts, while the ETH balance on centralized exchanges is at a historical low.
• The MVRV Z-score is 0.8, still within a reasonable value range.

The large-scale influx of institutional capital may bring about the "late-stage prosperity effect" in the DeFi market. As more assets are tokenized on-chain, the Ethereum ecosystem is expected to usher in a new round of rapid development. However, it is still in the observation phase, and prices have not yet reached a level sufficient to validate this trend.

The further growth of stablecoins and real-world assets in the future may drive Ethereum's TVL to reach $1 trillion, subsequently boosting the price of ETH. However, this expectation still needs time for verification. Overall, the influx of institutional funds has laid the foundation for the Ethereum bull run, but it is essential to closely monitor subsequent developments.