Ethereum, the second-largest cryptocurrency by market capitalization, has hit a major financial milestone. Its market cap has climbed above $327 billion, overtaking Bank of America and other global giants like Nestlé, Coca-Cola, and Alibaba. This rise comes as Ethereum’s price recently surged to $2,727 — its highest point in over three months.

In just over two weeks, Ethereum has added more than $100 billion to its total market value. The token was trading below $1,800 at the start of May, and now it’s rapidly gaining traction among both retail and institutional investors. Experts believe this momentum could carry Ethereum to even higher prices in the coming weeks.

What’s Fueling Ethereum’s Rapid Rise?

Several key factors are driving Ethereum’s impressive price performance:

 1. ETF Inflows and Institutional Interest

Ethereum has been gaining attention from major investment firms and traditional finance players. Although the U.S. Securities and Exchange Commission (SEC) has yet to approve the highly anticipated 21Shares Spot Ethereum ETF with staking, investors aren’t waiting.

Major products like Fidelity’s FETH, Grayscale’s Ether ETF, and Grayscale’s mini-Ether ETF are already seeing strong demand. Combined inflows into these funds have exceeded $100 million in just a few weeks. These ETF products give investors exposure to Ethereum without requiring them to hold the actual cryptocurrency, making them attractive to institutions and conservative investors.

 2. Strong On-Chain Metrics and Market Sentiment

According to on-chain analyst Ali Martinez, Ethereum now has strong support at $2,370, which gives the market confidence that the price won’t easily drop below that level. Meanwhile, another analyst, Kyledoops, highlighted Ethereum’s trading position above its Realized Price ($1,900) and the True Market Mean ($2,400) — suggesting that most holders are now in profit. This kind of behavior is a classic indicator of a bullish market.

 3. Rising Open Interest and Futures Activity

Interest in Ethereum futures trading is climbing quickly. Open interest — which measures the number of outstanding futures contracts — has surged 5% and now stands above $34 billion. This increase shows that traders are positioning themselves for bigger moves, and it often leads to more volatility and higher price swings in either direction.

Ethereum vs. Traditional Giants

Crossing the $327 billion mark places Ethereum ahead of some of the most recognizable companies in the world:

•  Bank of America – $325B

•  Coca-Cola – $270B

• Alibaba – $190B

• Nestlé – $320B

This milestone demonstrates how serious Ethereum has become as a financial asset. Once considered only a speculative digital currency, it’s now in the same league as major multinational corporations.

What’s Next for Ethereum?

Market watchers are eyeing the next big milestone: $3,000. If Ethereum can break through that level, analysts believe it could test even higher resistance zones. Many are now targeting $3,900 as the next possible high, especially if inflows into ETH-based products continue and the broader crypto market remains bullish.

With the current rally gaining steam, even short-term traders are feeling optimistic. The trend of liquidating short positions continues to support the price rise. In the last 24 hours alone, Ethereum has seen millions of dollars in short liquidations — an indicator that bearish bets are being wiped out as prices climb.

 Ethereum: The New Financial Contender?

Ethereum’s rise isn’t just about price speculation. The blockchain has evolved into the foundation for an entire decentralized ecosystem. With thousands of apps, DeFi protocols, NFTs, and layer-2 networks like Arbitrum and Optimism building on top of it, Ethereum has real-world utility that few assets can match.

The upcoming shift to staking-focused ETF approvals could further boost ETH’s appeal, especially as traditional finance continues to seek exposure to crypto.

According to many experts, Ethereum’s long-term value is just beginning to be realized. It is no longer just a cryptocurrency — it’s becoming a key pillar of the future financial infrastructure.

 Expert Take

“Ethereum is undervalued compared to the impact it’s having on finance, tech, and investing,” said market analyst James Barron in a recent interview. “Surpassing institutions like Bank of America is just the beginning. If the ETF market explodes the way Bitcoin’s did, ETH could hit $4,000 quicker than people expect.”

 Conclusion

Ethereum’s current surge above $2,700 is more than just a price rally — it’s a signal of growing trust, adoption, and financial clout. As it outpaces legacy financial giants like Bank of America, ETH is no longer just the backbone of decentralized applications. It’s becoming a serious contender in the global asset landscape.

With institutional money flowing in, solid support levels, and rising futures interest, Ethereum could be gearing up for a major breakout — potentially rewriting the script on what modern finance looks like in the 21st century.