🚀 Ethereum Demand Shock: Why ETH Could Skyrocket to $10K Before 2026

Forget moon shots—Ethereum's gearing up for a full-blown escape velocity. A perfect storm of institutional demand, deflationary mechanics, and Layer 2 adoption could send ETH prices into uncharted territory.

The Burn Factor

EIP-1559's fee-burning mechanism has turned ETH into a yield-generating black hole—over $3B incinerated since 2021. With every transaction, the supply squeeze tightens.

Institutional FOMO Hits Critical Mass

Wall Street's finally waking up to staking yields that make Treasury bonds look like loose change under the couch. Spot ETF approvals? Just icing on the cake.

The Layer 2 Domino Effect

As Arbitrum and Optimism onboard millions at gas fees under $0.10, Ethereum's becoming the only blockchain that matters for serious developers—and their users follow.

Sure, the crypto casino always finds new ways to separate fools from their money. But this time? The smart money's betting on ETH hitting five digits before the next 'crypto winter' narrative drops.

Ethereum Supply and Demand

Until recently, Ethereum had not benefited from the same trend as Ether ETFs launched in July 2024, which did not perform as well, seeing just $2.5 billion in inflows until mid-May. However, this all changed recently with spot ETH ETFs hoovering up the asset at unprecedented levels.

Bitwise estimated that ETPs and corporate treasuries have combined to buy 2.83 million ETH since May 15, more than $10 billion at today’s prices, which is 32 times the net new supply over the same time period.

Hougan expects this trend to continue because investors are “significantly underweight” in Ethereum compared to Bitcoin. Additionally, stablecoin regulations and a surging real-world asset tokenization market will boost Ethereum demand even further.

“Meanwhile, all signs suggest the ‘ETH treasury company’ trend will accelerate,” he added.

“Looking out, I can imagine ETPs and treasury companies buying $20 billion of ETH in the next year, or 5.33 million ETH at today’s prices.”

He added that the network is expected to produce roughly 800,000 ETH over the same period, which equates to seven times more demand than supply.

BitMEX founder Arthur Hayes concurred in his latest blog post on Tuesday. “The coming Ether bull run is about to tear the market a new asshole,” he said before predicting that the asset WOULD hit $10,000 by the end of the year.

Net new ETH issuance today: ~2,468 ETH ($13 million).

Net inflows into the ETH ETFs today: ~143,905 ETH ($534 million).

The ETH ETFs bought 58x more ETH than was net issued by the network today.

Accelerate!

— sassal.eth/acc (@sassal0x) July 23, 2025

ETH Price Outlook

Ether prices have traded relatively flat over the past 24 hours with the asset changing hands for $3,720 at the time of writing.

It has started to consolidate at current levels over the past few days after hitting resistance at $3,800 three times.

ETH has outperformed Bitcoin over the past month with an epic 67% gain from around $2,250, where it traded this time in June.