Ethereum (ETH) ended 2025 underperforming relative to market expectations, keeping sentiment muted around the asset. However, Kevin Rusher, founder of RAAC, argues that focusing on price alone misses the bigger picture.
According to Rusher, 2026 could be the year Ethereum blindsides the market, driven by accelerating institutional adoption and growth across stablecoins, tokenized assets, and payments.
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Everyone Is Watching ETH’s Price, but Ethereum’s Real Growth Is Elsewhere
Ethereum declined by nearly 10% in 2025, following substantial losses in the last quarter. Notably, January 2026 has started on a positive note, with the asset recording modest gains.
BeInCrypto Markets data shows that Ethereum has crossed the $3,000 mark. Over the past 24 hours, it has gained 1.76%. At the time of writing, ETH was trading at $3,030.
Ethereum (ETH) Price Performance. Source: BeInCrypto MarketsWhile price fluctuations make headlines and generate attention within the community, Rusher argues that some commentators overlook a more significant trend: the growing institutional adoption of Ethereum.
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The executive explained that Ethereum has captured a leading share in the fastest-growing areas of the crypto economy. Over Christmas, stablecoin issuance on the network surpassed $59 billion, reinforcing Ethereum’s dominance as it accounted for more than 62% of the total market, significantly ahead of any competing blockchain.
Tokenized Assets Strengthen Ethereum’s Position
The tokenized asset sector further strengthens the bullish case. BeInCrypto reported that real-world assets (RWAs) recorded significant growth in 2025 despite the broader market downturn.
Moreover, industry experts and Crypto Twitter remain optimistic about 2026, anticipating sustained momentum and further expansion across the sector.
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According to data from RWA.xyz, Ethereum currently hosts $12.5 billion in tokenized assets, accounting for over 65% of the market. Rusher added that its nearest competitor, BNB Chain, holds just $2 billion, while Solana and Arbitrum each account for under $1 billion. Thus, if the sector grows this year, Ethereum could further benefit.
Capital Flows Signal Institutional Preference
Rusher also told BeInCrypto that while sentiment around ETH’s price remains subdued, capital flows paint a different picture. In 2025, inflows into Bitcoin were half their 2024 figures. Meanwhile, inflows into Ethereum doubled.
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The executive cited State Street research, which revealed that 6% of asset managers have 5% or more of their AUM in Ethereum, compared to 5% with the same level of exposure to Bitcoin.
Lastly, Rusher pointed to a report from Artemis, which highlighted that B2B stablecoin payments on Ethereum grew steadily from August 2024 until August 2025.
Rusher is not alone in his optimism. BitMine chairman Tom Lee has also expressed a bullish outlook on Ethereum. In a recent interview, Lee forecasted that ETH could reach between $7,000 and $9,000 by early 2026, implying a potential upside of 130% to 200% from current levels.
Overall, Ethereum’s price performance may have lagged in 2025, but underlying data suggest its role within the digital asset economy continues to expand. Whether this growth translates into sustained price gains will become clearer as 2026 progresses.
Source: https://beincrypto.com/ethereum-2026-institutional-growth-tokenization/
