Ethereum News Today: Ethereum Surges 56% in July on Record ETF Inflows

Ethereum surged over 56% in July 2025, outperforming Bitcoin and capturing significant investor attention. This unprecedented rally was driven by record inflows into Ethereum-based exchange-traded funds (ETFs), with over $5.37 billion in assets added within just 19 days. BlackRock’s Ethereum ETF (iShares ETHA) became the third-fastest crypto ETF to reach $10 billion in assets under management, achieving the milestone in 251 days. The momentum was particularly notable on July 16, when the ETF saw a single-day inflow of $727 million [1].

The surge positioned Ethereum as the leading performer in the cryptocurrency market, drawing comparisons to the explosive growth of 1990s tech stocks. Unlike Bitcoin, which is often viewed as a digital store of value or "digital gold," Ethereum is increasingly being seen as a speculative and growth-oriented asset. This repositioning highlights its potential role in the blockchain revolution, particularly in decentralized finance (DeFi) and smart contract applications [1].

Institutional adoption played a critical role in Ethereum’s rise, with major exchanges like Binance and Coinbase reporting increased trading volumes. The asset’s appeal also extended to retail investors, reflecting broader confidence in the blockchain sector’s ability to reshape traditional financial systems. Ethereum’s liquidity and active trading environment further solidified its status as one of the most prominent digital assets in the market [1].

Despite the impressive price action, fundamental metrics tell a different story. Ethereum’s network revenue increased by only 3% over the month, and on-chain activity grew by just 5%. These figures contrast sharply with the dramatic price appreciation, raising questions about the sustainability of the rally. Markus Thielen, CEO of 10x Research, noted that 90% of Ethereum’s price movements in July occurred during Asian trading hours, suggesting a geographic concentration of speculative activity rather than broad-based demand driven by network fundamentals [1].

Ethereum’s valuation also appears stretched when compared to historical benchmarks. In November 2021, Ethereum generated $1.5 billion in monthly revenue with a $300 billion market cap, translating to a 6% yield. By contrast, in July 2025, the network’s annual revenue was only $764 million, with a market cap of $466 billion—yielding just 1.6%. This disparity underscores the gap between the asset’s market valuation and its operational performance [1].

Analysts remain divided on Ethereum’s future trajectory. Some argue that the asset is entering a new phase, where ETF-driven inflows and institutional adoption are reshaping its narrative. Others caution that the rally may be vulnerable to a slowdown in capital flows, particularly if on-chain fundamentals fail to keep pace with price expectations. The broader market, meanwhile, showed mixed results, with Ethereum outperforming most major cryptocurrencies and reinforcing its position as a key driver of the current bull phase [1].

Source:

[1] https://www.cointribune.com/en/ethereum-soars-56-in-july-outshining-bitcoin-in-a-key-area/