According to Matt Hougan, a significant 'demand shock' is the primary driver behind the recent surge in Ethereum's (ETH) price. Hougan suggests this imbalance between high demand and available supply is not a short-term event and projects that this fundamental pressure will continue to push ETH's valuation higher in the coming months, presenting a bullish outlook for traders.

According to @VanessaGrellet_, Bitcoin’s fixed supply of 21 million, with approximately 19.7 million already mined and an estimated 3–4 million lost forever, leaves only about 15.5 million BTC effectively circulating. If the US were to purchase 6–7% of this supply, it would actually account for 20–25% of the liquid float, creating a significant demand shock. This tightening supply dynamic is critical for traders as it could drive increased price volatility and upward momentum, especially as institutional and sovereign demand rises (Source: @VanessaGrellet_ on Twitter, May 24, 2025).