Ethereum News Today: Ethereum Surpasses $4,000 as Market Cap Dominance Rises

Ether (ETH) surpassed $4,000 for the first time since December 2024 on August 8, 2025, marking a significant milestone in its price trajectory [1]. The rise was driven by a combination of market dynamics, including strong on-chain activity and increased institutional adoption [2]. At its peak, ETH/USD traded as high as $4,012 on Bitstamp, with the token gaining approximately 1.7% in a single day [1]. This development came as Bitcoin (BTC) continued to lose market cap dominance, reinforcing the narrative of a broader shift in investor sentiment towards altcoins [2].

Ethereum’s market cap dominance has been steadily increasing, with traders and analysts noting that the altcoin is now taking a larger slice of the overall crypto market [2]. Popular trader Rekt Capital highlighted that Ethereum’s dominance is already between 50-60% of the way into what could be a macro-level uptrend [2]. This trend is further supported by on-chain data showing large-scale Ethereum purchases, including a whale buying 10,400 ETH worth $40.5 million via over-the-counter (OTC) channels [2]. Institutional activity also spiked, with Fundamental Global Inc filing a $5 billion shelf offering aimed at acquiring more ETH [2].

The bullish momentum was further reinforced by strategic moves from whale investors. One whale, identified as 0xaf6c, purchased 1,390 WETH at $4,000 and leveraged Aave to borrow WBTC in a potentially strategic trade [2]. These actions suggest that larger participants are positioning themselves ahead of potential price movements. Additionally, order book data showed a “massive wall of long liquidations” below $3,960, which analysts interpreted as a re-accumulation zone rather than a sign of weakness [2].

Despite the optimism, Bitcoin’s dominance continues to face pressure. Its share of the total crypto market cap fell below 60.7% on the day ETH crossed $4,000, raising questions about its ability to retain its dominant position [2]. Rekt Capital noted that while BTC could stage a temporary rebound, the long-term trend appears to be bearish [2]. According to his analysis, Bitcoin’s dominance could eventually fall into the 30-40% range, a significant shift from its typical 60-70% historical average [2].

Ethereum’s price action and market behavior reflect a broader shift in the crypto landscape, with altcoins gaining traction as investors seek higher returns. The growing adoption of Ethereum-based staking and treasury strategies has contributed to increased demand for ETH [2]. Analysts remain cautious but optimistic, with some forecasting that ETH could retest the $4,500 level and potentially approach its previous all-time high of $4,891, last seen in November 2021 [2]. However, the path forward is not without risks, as Ethereum faces significant resistance near $4,000, where it previously struggled to break through during earlier rallies [2].

As the market continues to evolve, investors are closely monitoring Ethereum’s ability to sustain its gains and whether it can outperform Bitcoin in the long term. The coming weeks will likely determine whether this latest surge marks the beginning of a new bull phase for ETH or if it is another temporary rebound [2].

Source:

[1] AInvest, [https://www.ainvest.com/news/ethereum-news-today-ether-surges-4-000-time-december-2024-2508/](https://www.ainvest.com/news/ethereum-news-today-ether-surges-4-000-time-december-2024-2508/)

[2] Cointelegraph, [https://cointelegraph.com/news/ethereum-beats-solana-in-capital-inflows-4k-target-in-sight](https://cointelegraph.com/news/ethereum-beats-solana-in-capital-inflows-4k-target-in-sight)

[3] Bitget, [https://www.bitget.com/news/detail/12560604900473](https://www.bitget.com/news/detail/12560604900473)

[4] U.Today, [https://u.today/ethereum-eth-to-melt-faces-top-analyst-issues-breathtaking-prediction](https://u.today/ethereum-eth-to-melt-faces-top-analyst-issues-breathtaking-prediction)

[7] TipRanks, [https://www.tipranks.com/news/ethereum-is-facing-its-second-largest-wave-of-selling-pressure-with-a-25-to-35-drop-in-play](https://www.tipranks.com/news/ethereum-is-facing-its-second-largest-wave-of-selling-pressure-with-a-25-to-35-drop-in-play)