Ethereum News Today: Ethereum surges 52% in July driven by ETF inflows institutional adoption and on-chain activity

Ethereum (ETH/USD) surged over 52% in July, driven by a combination of ETF inflows, institutional adoption, and robust on-chain activity. The cryptocurrency reached a peak near $3,730 amid $332 million in ETF inflows and declining exchange reserves, signaling strong institutional and retail demand [2]. BlackRock’s iShares Ethereum ETF, for instance, crossed $10 billion in assets under management (AUM) in just one year, becoming the third-fastest ETF to achieve that milestone, while Bit Digital converted Bitcoin holdings to purchase 100,000 ETH, reflecting a strategic shift toward Ethereum as a treasury asset [1]. Public companies now hold over 865,000 ETH, a jump of more than 545,000 ETH in a single month, underscoring growing institutional confidence [6].

The rally has shifted broader market dynamics, with Ethereum’s dominance rising alongside altcoin momentum. Solana, for example, surged 29.6% in July, contributing to Bitcoin’s market share dropping to 60.1% from previous highs [3]. Ethereum’s 30-day return of 52% has outpaced Bitcoin on a risk-adjusted basis, per CryptoQuant data, while on-chain metrics confirm the uptrend is not a “fake pump” [7]. Whale activity has further amplified Ethereum’s influence, with purchases like World Liberty’s acquisition of 3,473 ETH reinforcing bullish sentiment [8].

Analysts, however, remain cautious about the sustainability of the gains. Trader Posty noted Ethereum’s 1-hour trendline remains intact but warned of a potential short-term dip below $3,500 before resuming higher. If a deeper breakdown occurs, he highlighted $3,000 as a critical support level [1]. Ash Crypto emphasized Ethereum’s renewed alignment with M2 money supply after a prolonged divergence in 2023, attributing the rally to rising institutional demand and tightening ETH supply. He forecasts a potential target of $10,000 in this cycle, citing macroeconomic tailwinds [1]. Meanwhile, CryptoWolf outlined two likely trajectories: a conservative target above $8,000 and a bullish target of $13,000+, with both scenarios expecting a 20–25% pullback after ETH hits all-time highs—a final shakeout before a Q4 rally [1].

Ethereum’s surge contrasts with mixed performance in the broader crypto market. While Ethereum ETFs reported a daily net inflow of $231.2 million on July 24, Bitcoin ETFs experienced net outflows, reflecting short-term divergence [1]. XRP, for instance, surged 552% since July 2024, driven by concentrated whale accumulation, though its 6.34% annual gain lags Ethereum’s 9.5% year-to-date rise [1]. Analysts caution XRP’s rally hinges on post-ETF regulatory clarity, with speculative forecasts suggesting potential jumps to $15–$30, though these remain contingent on broader market conditions [3].

Structural adoption for Ethereum appears more sustainable, supported by ecosystem upgrades and ETF tailwinds. Bitmine Immersion Technologies, which recently completed a $250 million private raise, announced ETH holdings exceeding $2 billion, signaling long-term conviction in Ethereum’s value proposition. The firm aims to acquire and stake 5% of the entire ETH supply, further reinforcing bullish sentiment [1]. IntoTheBlock data also showed Ethereum’s large transaction volume and daily active addresses grew 5.1% and 3.5%, respectively, in a single day, indicating strong network activity [1].

Despite the optimism, risks persist. Ethereum remains 74% below its $4,890 peak, and the market’s focus on whale-driven dynamics could create volatility. While ETF inflows and institutional interest provide near-term catalysts, the sustainability of Ethereum’s rally depends on on-chain metrics and regulatory developments. The broader altcoin market, including meme coins, has also seen an 8% surge in market cap to $90 billion in July, reflecting shifting investor sentiment [2].

In summary, Ethereum’s July surge reflects robust institutional backing and ETF-driven momentum, but the market remains cautious about overextending positions. With Bitcoin dominance fluctuating and altcoin activity intensifying, investors are advised to monitor liquidity trends and regulatory outcomes to assess whether the current rally has legs or is nearing a correction.

Sources:

[1] [XRP vs ETH: Which token is quietly outperforming in whale-fueled rallies?](https://cointelegraph.com/news/xrp-vs-eth-which-token-is-quietly-outperforming-in-whale-fueled-rallies)

[2] [Bitcoin Whales Are Potentially Driving an Altcoin Season](https://www.mitrade.com/insights/news/live-news/article-3-975527-20250722)

[3] [Could A $30 XRP Price Be Realistic Post-ETF? New Data ...](https://coincentral.com/ripples-long-game-could-a-30-xrp-price-be-realistic-post-etf-new-data-suggests-it-might-be)

[6] [Top 10 Biggest Holders of Ethereum and the Billions They ...](https://www.ccn.com/news/crypto/top-10-biggest-ethereum-ether-holders/)

[7] [Ethereum's 55% Surge and Solana's 29.6% Rise Drive ...](https://www.ainvest.com/news/ethereum-news-today-ethereum-55-surge-solana-29-6-rise-drive-altcoin-momentum-bitcoin-dominance-dips-60-1-2507/)

[8] [World Liberty's 3473 Ethereum Purchase Sets Tone As ...](https://www.bitcoininsider.org/article/280149/world-libertys-3473-ethereum-purchase-sets-tone-companies-pile-altcoin)