Ethereum News Today: "Major Institutions Wager on Ethereum, Indicating a Revival of Altcoins as Regulatory Barriers Ease"

Altcoins Poised for Breakout Amid Changing Market Landscape

Alternative cryptocurrencies are on the verge of a significant move as Ethereum (ETH) begins to gain ground against Bitcoin (BTC), signaling a notable shift in the crypto market. This change is being driven by increased institutional investment, evolving regulations, and broader economic trends that are influencing investor attitudes.

BitMine, recognized as the largest Ethereum-focused digital asset treasury, has ramped up its ETH acquisitions, reportedly purchasing close to $70 million worth of Ethereum within just three days, according to data from Lookonchain. Tom Lee, the company’s chairman, has updated his outlook for Bitcoin, now forecasting a record high by January 2026. He attributes this optimism to anticipated changes in Federal Reserve policy and a rebound in stock markets.

The ETH/BTC ratio, which measures the strength of altcoins compared to Bitcoin, has recently stabilized. Technical analysis suggests that Ethereum could bounce back from important support levels, although the 20-day exponential moving average (EMA) remains a key barrier. Analysts believe that if Ethereum can maintain a price above $2,850, it could spark renewed buying interest. Confidence in Ethereum’s future is further reinforced by institutional moves, such as Bitwise’s recent $273 million ETH purchase, highlighting faith in Ethereum’s fundamentals following its recent upgrades.

Ethereum’s upcoming Fusaka upgrade, scheduled for December 3, is expected to significantly improve the network’s scalability and user experience, strengthening its position as a core asset in the crypto ecosystem.

Regulatory Shifts and Liquidity Trends

Recent decisions by regulators and central banks are also reshaping the crypto environment. The Federal Reserve’s announcement to halt quantitative tightening (QT) on December 1 has led to speculation about a surge in liquidity for riskier assets, including cryptocurrencies. This mirrors the situation in 2019, when the end of QT coincided with a recovery in altcoin prices, prompting analysts to draw comparisons to today’s market.

In addition, the approval of the first U.S. stablecoin under the GENIUS Act—USDtb—issued by Ethena and supported by tokenized money market funds, marks a significant step toward greater institutional participation in crypto infrastructure.

Spotlight on Privacy Coins and ETFs

Grayscale’s recent application to convert its Zcash Trust into a spot ETF underscores the growing interest in privacy-oriented cryptocurrencies. Zcash (ZEC) has experienced a dramatic rise of over 1,000% in 2025, surpassing both Bitcoin and Ethereum, as demand for private transactions increases. If approved, this ETF would represent a major milestone for privacy coins, reflecting a broader appetite among investors for digital alternatives to cash.

Market Challenges and Outlook

Despite these positive developments, the crypto market remains fragile. Bitcoin’s market dominance has slipped below 60%, and altcoins such as Solana’s PIPPIN have seen sharp price swings, raising concerns about potential short-term pullbacks. Jeff Dorman of Arca points out that liquidity issues—especially for large institutional players like Vanguard and State Street—are slowing the pace of mainstream crypto adoption, even as fundamentals in equities, credit, and gold remain strong.

Looking forward, the direction of altcoins will likely be shaped by the interplay of macroeconomic policy, regulatory clarity, and institutional interest. With the Federal Reserve’s shift in liquidity policy, the upcoming Fusaka upgrade, and increasing attention on crypto ETFs, the market may be on the cusp of a leadership transition. As Tom Lee recently remarked, much will depend on the recovery of equity markets, which could drive further investment into digital assets, according to industry reports.