Top-rated asset management firm and one of the spot Ethereum ETF issuers, Fidelity has made a notable Ethereum purchase that has caught the attention of the crypto community.
Earlier today, Arkham Intelligence firm disclosed data which signaled a resurgence in Fidelity’s Ethereum ETF performance following its latest Ethereum purchase.
Fidelity buys $28.6 million of Ethereum
According to data provided by the source, Fidelity purchased Ethereum tokens worth about $28.6 million over the last week. This purchase has become notable as it marks the largest weekly purchase the firm has made in about two months.
The source confirmed that the last time Fidelity made a weekly purchase up to this size was in late April following the consistent downturn in the spot Ethereum ETF market.
Although the weight of the transaction is relatively small considering the duration of the purchase, the move still signals resurgent interest in the Ethereum-based investment product as the past weeks have been extremely negative.
Institutions circle back to Ethereum
The Ethereum ETF market has continued to bleed significantly over the past week as all of its funds including Fidelity barely recorded fresh capital intake on most of the daily trading sessions.
With the steady withdrawals consistently recorded by the Ethereum funds, it appeared that institutional investors were taking caution with Ethereum amid the crypto market volatility.
As such, Fidelity has barely made any Ethereum purchases considering the slow demand for the product.
However, the decent increase in its Ethereum purchases seen over the last week has caused market participants to wonder if institutions are finally circling back to Ethereum amid renewed optimism for the leading cryptocurrency.