Ethereum institutional investments have surged by 145% in 2025, with fund holdings increasing from 2.8 million to 6.9 million ETH. This significant growth was catalyzed by the approval of spot Ethereum ETFs in July 2025, which led to $6 billion in inflows, elevating total assets under management to $26 billion. On-chain data from CryptoQuant and SoSoValue highlights a notable shift in institutional capital from Bitcoin to Ethereum. This transition is attributed to the expansion of decentralized finance (DeFi) and Ethereum's recent scalability upgrades, which have enhanced its appeal to institutional investors.