Ethereum News Today: ETH Gains Momentum as BTC Runs Out of Gas

Despite the recent movement of large holders from Bitcoin to Ethereum, Bitcoin CEX netflows remain in the green. This is in contrast to the notable shift in capital rotation, where a $11 billion Bitcoin whale closed a $450 million Ether long and acquired $108 million in spot Ether, as reported by blockchain intelligence platform Lookonchain. The whale sold 22,769 Bitcoin (BTC) worth $2.59 billion and converted the funds into 472,920 spot Ether (ETH) or $2.2 billion, while also taking a $577 million Ether perpetual long position on Hyperliquid [4].

The increased demand for Ether is further reflected in the growing inflows into U.S. spot Ethereum ETFs, which have collected over $1 billion in a single day for the first time since their launch last year. These funds have been outperforming Bitcoin ETFs in recent weeks, marking a significant shift from the earlier trend of Bitcoin dominance [2]. Additionally, corporate accumulation by Ethereum treasury companies has contributed to the surge. For example, BitMine Immersion and SharpLink Gaming have amassed over $7 billion and $3.6 billion in ETH holdings, respectively [2].

Analysts have highlighted the weakening momentum in Bitcoin while noting the growing demand for Ethereum amid shrinking exchange reserves. This trend is supported by the declining Bitcoin dominance, which is currently at 57.94%, down from around 61% at the beginning of the month [5]. According to analyst forecasts, Bitcoin is expected to trade in the $110,000–$120,000 range over the next one to two weeks, while Ethereum looks stronger with targets between $4,600 and $5,200 [4].

The recent price movements of Ethereum have been influenced by a combination of factors, including the Federal Reserve Chair Jerome Powell’s dovish comments, which have boosted risk appetite among crypto investors [4]. Ether’s price has surged above $4,900, entering a phase of price discovery with a new all-time high at $4,946. Analyst Miles Deutsher described the situation as “BTC is exhausted, ETH isn’t,” emphasizing the relative strength and momentum of Ethereum compared to Bitcoin [1]. This shift in momentum is supported by the reduced availability of coins on exchanges, where lower exchange reserves indicate fewer coins are immediately available for selling, potentially driving up the price as demand rises [1].

While Ethereum’s price surge has been notable, analysts have also issued caution about potential short-term pullbacks, especially following weekend breakouts. Michaël van de Poppe highlighted the unusually large weekly candle, warning that weekend breakouts often retrace when liquidity normalizes early in the week [1]. This suggests that while the broader trend for Ethereum remains bullish, short-term volatility should be anticipated as the market tests the new breakout levels.

The regulatory environment has also played a role in Ethereum’s recent performance. The SEC has provided clearer guidance on staking services, allowing liquid staking providers to pay rewards without agency registration. This regulatory clarity has contributed to the growing confidence in Ethereum’s ecosystem [2]. Additionally, the passage of the GENIUS Act has established a U.S. regulatory framework for stablecoins, which predominantly operate on the Ethereum blockchain [2].

Source: [1] As ETH Breaks Above USD4,900, Analyst Sums Up Crypto Market: "BTC Is Exhausted, ETH Isn't" (https://www.coindesk.com/markets/2025/08/24/as-eth-breaks-above-usd4-900-analyst-sums-up-crypto-market-btc-is-exhausted-eth-isn-t) [2] Ethereum Jumps to Record Price Move (https://finance.yahoo.com/news/ethereum-jumps-record-price-move-184709473.html) [4] $11B Bitcoin Whale Closes $450M ETH Long, Scoops Up $108M Ether (https://cointelegraph.com/news/11b-bitcoin-whale-closes-450m-eth-long-108m-ether) [5] Bitcoin Under $112,700: Whale Migration to Ethereum Drives Volatility (https://www.theblock.co/post/368060/bitcoin-under-112700-whale-migration)