BlackRock, managing over $10 trillion in assets, has played a pivotal role in integrating cryptocurrencies into traditional finance.
According to Arkham Intelligence data, the company made a big move last week when it bought more than $1.2 billion worth of Ethereum (ETH) and $267 million worth of Bitcoin (BTC). This 4.5x difference could mean that institutions are starting to prefer Ethereum over other cryptocurrencies, which makes its growing dominance in portfolios even more interesting.
BlackRock made several significant Ethereum transactions between July 22 and July 28, 2025. One of these transactions was a single transfer of 177,500 ETH worth $655.9 million. Coinbase Prime hot wallets sent 10,000 ETH each to BlackRock-controlled wallets, which were worth about $36-37 million.
In contrast, Bitcoin purchases only came to $267 million, indicating a stronger preference for Ethereum at the time. Ethereum experienced a 3.14% gain, reaching $3,812.42, while Bitcoin declined by 0.11%, settling at $118,356.67.
Ethereum is popular because it has a strong ecosystem that supports smart contracts, decentralized finance (DeFi), and non-fungible tokens (NFTs). Many people think of Bitcoin as digital gold, but Ethereum’s usefulness in blockchain applications makes it appealing to organizations that want to invest in a variety of cryptocurrencies.
BlackRock’s approach fits with the increased interest from institutions. For example, Fidelity’s FETH fund saw $113 million and $127 million in inflows on July 17 and 21, respectively.
BlackRock’s large investment in Ethereum implies that the market is maturing and altcoins are becoming more popular. The company’s $3.75 billion worth of Ethereum and $72.02 million worth of USDC show that it has a broader crypto strategy than just Bitcoin.
This change could make other institutional investors look at altcoins, which could help Ethereum’s price stay stable and make the market less volatile.
Bitcoin is still a big part of BlackRock’s $60.6 billion crypto portfolio, with 572,616 BTC (2.7% of total supply). However, the fact that they bought fewer last week signals a change in strategy. No one can deny that Bitcoin is a good way to store money, but Ethereum’s flexibility may explain why institutions have been using it more lately.
Larry Fink, the CEO of BlackRock, has said that Bitcoin may reach $700,000, but the company’s current concentration on Ethereum suggests that it is taking a more diversified approach.
As regulations become clearer, particularly with the approval of spot Bitcoin ETFs in 2024, Ethereum and other altcoins may gain traction among institutional investors. With the crypto market currently valued at $2.97 trillion, continued growth is expected.
BlackRock’s actions could signal the emergence of altcoins. BlackRock’s $1.2 billion acquisition of Ethereum, which is much bigger than its investment in Bitcoin, is a big step forward for institutional crypto acceptance. As Ethereum becomes more popular, its role in DeFi and smart contracts could change how people invest, making it a fundamental holding next to Bitcoin.
