Ethereum’s AI boom depends on Wall Street involvement and competition across blockchains

BitMine Immersion Technologies, the largest corporate owner of Ether, has placed

at the forefront of what could be a "supercycle," fueled by Wall Street’s growing embrace of blockchain and the emergence of agentic artificial intelligence (AI) protocols. BitMine, which controls 2.15 million ETH and holds the world’s largest Ether treasury, believes this extended bull run could break the usual four-year crypto cycle associated with halvings. The company contends that ongoing institutional investments, innovative financial products, and decentralized infrastructure could help Ethereum maintain its value beyond previous trends Cointelegraph, [Ethereum Supercycle Catalysts: Wall Street adoption, …] [ 1 ].

Wall Street’s adoption of blockchain is seen as a major driver. BitMine points to the expanding use of Ethereum-based ETFs, structured offerings, and treasury strategies as sources of liquidity. For example, BlackRock’s crypto ETFs have brought in $260 million in annualized revenue, indicating a shift in how traditional finance views digital assets Cointelegraph, [Ethereum bulls tout adoption, AI-driven supercycle, but …] [ 2 ]. Still, not everyone on Wall Street is optimistic.

has projected Ether to reach $4,300 by year-end, which is below its record high of $4,953 set in August, and cautioned that current prices may be inflated by speculative trading rather than actual usage Reuters, [Citigroup’s Ethereum price target cited in Cointelegraph] [ 3 ].

Agentic AI protocols are also playing a pivotal role. Both BitMine and venture capital giant Andreessen Horowitz (a16z) assert that AI agents need neutral, decentralized networks like Ethereum to operate as economic participants. “Crypto is the natural fit for AI,” said Ben Horowitz of a16z, stressing that AI cannot rely on conventional payment rails such as credit cards a16z, [Ben Horowitz on AI and crypto] [ 4 ]. Onchain autonomous agents that can trade, manage assets, or interact with DeFi are expected to boost demand for Ethereum’s smart contract features. PayPal Ventures’ $18 million funding of decentralized AI infrastructure provider Kite AI further highlights the sector’s momentum Cointelegraph, [PayPal Ventures invests in Kite AI] [ 5 ].

Although Ethereum is recognized for its leadership in smart contracts, it faces mounting competition from networks like Base and

. These rivals are also supporting AI-driven projects, challenging Ethereum’s status as the main platform for autonomous agents. BitMine acknowledges the intensifying cross-chain rivalry but remains confident in Ethereum’s scalability and its reputation among institutions. The network’s shift to proof-of-stake, which slashed energy consumption by more than 99%, along with its significant role in tokenized assets and stablecoin transactions (accounting for half of all stablecoin activity), further cements its importance in global finance CNBC, [Ethereum’s role in tokenized assets and stablecoins] [ 6 ].

Ethereum’s recent price action shows strong momentum, with a 108% increase over the past six months, reaching $4,177 as of September 2025. Yet, Citigroup cautions that the current valuation may be driven more by speculative enthusiasm than by underlying fundamentals. The bank pointed to “buying pressure and excitement over use-cases” as short-term factors, but warned about the risk of overvaluation TradingView, [Ether price data] [ 7 ]. Meanwhile, BitMine’s market cap has surged from $37.6 million in June to $9.45 billion, reflecting its pivot to an ETH-focused treasury strategy.

The prospect of a supercycle depends on expanding adoption in both finance and AI. If institutional investment and AI-powered onchain activity continue to rise, Ethereum could experience sustained demand. Nevertheless, regulatory challenges, competition from other blockchains, and market fluctuations remain significant risks. As Vitalik Buterin has emphasized, preserving Ethereum’s decentralized principles while scaling up is essential for its future success Vitalik Buterin blog, [Open-source infrastructure in finance] [ 8 ].