Ethereum News Today: Ethereum Surges 77% as Bitcoin Dominance Hits 60% Low Amid $95.58T Liquidity and $6.2B ETF Inflows

Ether’s upward trajectory has intensified as Bitcoin’s market dominance index dipped below 60% on July 25, 2025, marking its lowest level since February. This shift, coupled with record global liquidity, has positioned Ethereum as a focal point for investors seeking growth in the crypto space. Analysts attribute the trend to a combination of macroeconomic tailwinds, technical indicators, and institutional adoption, with Ether’s price showing signs of outperforming Bitcoin in the current market cycle.

The global M2 money supply, a broad measure of liquidity encompassing cash, checking deposits, and liquid assets, has surged to an unprecedented $95.58 trillion. This expansion has created fertile conditions for risk assets like cryptocurrencies to attract capital inflows. Ethereum, in particular, appears undervalued relative to the pace of liquidity growth. According to the Wyckoff accumulation framework, Ether’s price trajectory lags behind the M2 expansion, suggesting a potential catch-up rally. Crypto analyst TedPillows noted that Ether “should be trading above $8,000 by now,” highlighting the asset’s alignment with liquidity trends.

Technical analysts have also flagged strong signals for Ether’s price movement. Wolf, a technical analyst, outlined two potential price pathways for Ethereum: a conservative target exceeding $8,000 and an optimistic scenario surpassing $13,000. Both scenarios anticipate a short-term 20–25% correction following all-time highs, a typical market adjustment before sustained gains. ETF inflows further reinforce this bullish outlook, with Ethereum-focused funds attracting $6.2 billion in 2025—surpassing last year’s total. This inflow reflects growing institutional confidence in Ethereum’s role as a platform for decentralized applications and smart contracts.

Bitcoin’s declining dominance—falling 8.5% since late June—correlates with Ethereum’s 77% price gain during the same period. Historical data shows that drops in Bitcoin’s market share have historically preceded significant Ethereum rallies. For instance, during the 2017 and 2021 cycles, declines in Bitcoin dominance coincided with Ether’s gains of 10,000% and 850%, respectively. The ETH/BTC ratio, a key relative strength indicator, has risen 40% over the past month, supported by stronger Ethereum ETF inflows compared to Bitcoin ETFs for seven consecutive days.

The reallocation of capital from Bitcoin to Ethereum and altcoins is evident in trading volumes and open interest metrics. Binance’s spot volume surged in late July, signaling heightened activity in altcoin pairs. Meanwhile, Ethereum’s open interest remains elevated, indicating sustained speculative positioning. This shift reflects a broader market maturity, as investors increasingly favor innovation-driven projects with clear use cases over Bitcoin’s dominance-centric phase.

Despite short-term volatility, the broader macroeconomic and technical environment supports Ether’s growth. Institutional adoption, including Ethereum-focused ETFs and treasury allocations, is expected to underpin price stability through 2025. However, market participants must remain cautious about potential headwinds, such as regulatory developments and macroeconomic shocks, which could disrupt the current trend.

The confluence of declining Bitcoin dominance, rising global liquidity, and Ethereum’s technical resilience underscores a favorable environment for altcoins. Investors are advised to monitor these factors closely as they collectively suggest a structural realignment in the crypto market.

Sources:

[1] [CoinMarketCap: Bitcoin Dominance at 60%](https://bloomingbit.io/en/feed/news/93581)

[2] [Ethereum Breakout Gains Strength](https://www.ainvest.com/news/ethereum-news-today-ethereum-breakout-gains-strength-bears-misread-minor-15-pullback-2507/)

[3] [Bitcoin Rally Signal? Analyst Links Binance Spot Volume](https://www.mitrade.com/insights/news/live-news/article-3-986117-20250725)

[4] [Bitcoin Holds Firm Above $118,000](https://www.msn.com/en-in/money/markets/crypto-price-today-bitcoin-holds-firm-above-118-000-altcoins-trade-mixed/ar-AA1J828W)

[5] [Rising Open Interest on Ethereum and XRP](https://www.facebook.com/photo.php?fbid=727790670134144&set=a.130****63246274&type=3)

[6] [Ethereum ETF Inflows Surpass $6.2B](https://seekingalpha.com/article/4803200-genius-3-top-crypto-etfs?source=feed_all_articles)

[7] [BNB Soars Past $800 as Altcoin Season Heats Up](https://coinstats.app/news/f2f092fc9bc38217135aa5452fae4b3bba915980604e80f618e9a6a1811de269_BNB-Soars-Past-800-as-Altcoin-Season-Heats-Up)