Institutional Ethereum reserves surge, Derive claims Q4 has explosive potential

according to The Block, Derive founder Nick Forster stated that last week, publicly listed companies increased their holdings by approximately 330,000 ETH, surpassing the 250,000 ETH held by the U.S. spot Ethereum ETF. Currently, strategic reserve companies hold about 4% of the total ETH supply, while ETFs hold 5.5%. Derive expects that by the end of the year, institutions may cumulatively hold 6-10% of the supply.

The short-term implied volatility of ETH options has dropped to 63%. BRN analysts pointed out that some companies' increased holdings could hedge against ETF fund outflows. ETH is currently priced at approximately $4,320, with a weekly decline of about 6%.