Ethereum News Today: Ethereum Surges 53 as Institutional Inflows Favor ETH Over BTC

Bitcoin and Ethereum continue to attract strong institutional interest amid ongoing market consolidation and regulatory tailwinds, according to recent analyses from QCP Capital and other industry observers. Bitcoin is currently consolidating near the $118,000 level with robust institutional demand, as crypto ETFs have recorded a $4.4 billion inflow in recent weeks [1]. The cryptocurrency remains range-bound between key support at $116,000 and resistance near $120,000, with analysts warning of the risk of a short-term correction to test the $110,000 level due to a “price gap” in trading volume [9].

Ethereum, on the other hand, has shown stronger momentum, pushing above $3,850 in early July and surging over 53% from $2,398 to $3,850. On-chain data indicates that Ethereum’s rally is being driven by fresh inflows rather than a rotation out of Bitcoin, a pattern typically seen in bull markets [2]. Institutional buying has skewed sharply toward Ethereum, with BlackRock reportedly adding $1.2 billion in ETH last week compared to just $267 million in BTC [2]. This 4.5x disparity highlights a significant shift in institutional crypto allocation strategies.

Ethereum’s price action has also seen notable on-chain activity, with a 12.7% rise in daily active addresses and 91% of ETH holders now in profit, according to IntoTheBlock [2]. The cryptocurrency’s open interest has reached a two-year high, accounting for nearly 40% of the total crypto derivatives market [2]. Additionally, Ethereum ETF inflows totaled $3.2 billion in July alone, contributing to a $150 billion increase in its market capitalization [5].

The ETHW fork has also experienced a resurgence, with an 85% price increase since March driven by renewed institutional inflows and improved performance against Bitcoin [3]. Meanwhile, 180 Life Sciences has announced plans to raise $425 million to purchase Ethereum, further signaling corporate confidence in the asset [2].

Despite these bullish indicators, Ethereum has shown signs of volatility, with the price struggling to maintain a level above $3,800 after multiple attempts to reclaim the $3,750 support [6]. However, it has held above the critical $3,730 daily support, suggesting potential for a rebound toward $4,000 [4].

The broader market faces macroeconomic risks centered around the U.S. dollar. Traders are heavily betting on a weakening dollar by opening short positions, a situation that has reached extreme levels according to the CFTC [9]. This setup creates a risk of a short squeeze should the dollar strengthen, which could force traders to close unprofitable positions and shift capital away from risky assets including cryptocurrencies [9].

Market focus is also turning toward upcoming U.S. inflation and employment data, which will be critical in determining the trajectory of the third quarter. At the July meeting, Fed analysts expect the key interest rate to remain unchanged, with decisions likely to remain data-dependent [9]. The September meeting is seen as a key event, with balanced odds of a rate cut [9].

Looking ahead, analysts caution that while institutional flows and regulatory progress support the potential for new all-time highs in both Bitcoin and Ethereum, near-term volatility and dollar dynamics could pose challenges to sustained upward momentum [9].

Source: [1] https://www.ig.com/uk/news-and-trade-ideas/bitcoin-holds-near--118-000-as-crypto-etfs-drive-institutional-f-250730

[2] https://www.benzinga.com/crypto/cryptocurrency/25/07/46720222/ethereums-rally-driven-by-fresh-inflows-not-a-rotation-out-of-bitcoin-report

[3] https://seekingalpha.com/article/4805523-ethw-flows-don-t-lie-ethereum-regains-its-footing?source=feed_tag_etf_analysis

[4] https://www.fxstreet.com/cryptocurrencies/news/ethereum-price-forecast-eth-turns-10-close-to-year-to-date-highs-as-fed-decision-looms-202507301300

[5] https://www.ainvest.com/news/ethereum-news-today-ethereum-surges-150-billion-july-2025-institutions-pump-3-2-billion-etfs-2507/

[6] https://www.tradingnews.com/news/ethereum-price-falls-to-3769-etf-delays

[7] https://www.mitrade.com/insights/news/live-news/article-3-997658-20250730

[9] https://www.binance.com/en/square/post/27639046325817

[10] https://www.bitget.com/news/detail/12560604884637