GENIUS Act Boosts Ethereum's Market Momentum

The recent signing of the GENIUS Act by U.S. President Donald Trump has led to a notable increase in the price of Ethereum's native coin, ETH, which has surged about 25% in just a week. Bernstein analysts predict that ETH will continue attracting robust investment, highlighting a growing focus on stablecoins and tokenized assets in financial markets. They believe the influence of significant asset managers like BlackRock will encourage ETH adoption in institutional portfolios, while banks and fintech companies are likely to accumulate operational ETH for transaction fees. Market analysts attribute ETH's surge to a rising demand for Ethereum yields and the emergence of treasury companies focused on Ethereum, mirroring recent trends in Bitcoin. Ethereum exchange-traded funds (ETFs) are also gaining traction, with a record daily net inflow of $726.74 million reported last week. With the GENIUS Act now law, stablecoins are recognized as legal digital cash, paving the way for Ethereum's growth. Bernstein analysts noted that ETH has risen about 45% over the past two weeks, emphasizing that this is not just another crypto boom-and-bust cycle, but rather a broader financial services evolution within blockchain technology. As of writing, ETH traded up by 3.29% at $3,790, while Bitcoin increased by 1.15% to $119,424. The GENIUS Act establishes a federal regulatory framework for stablecoins, ensuring they are fully backed by U.S. dollars or highly liquid assets, and requiring annual audits for significant market players. The uptick in Ethereum's price has also invigorated the non-fungible token (NFT) market, driving trading volumes to their highest levels since January, with a global NFT market cap now at $6.04 billion—a 16.9% increase in 24 hours, according to CoinGecko data.