Ethereum News Today: Ethereum Surpasses Bitcoin in Spot Volume for First Time in Over a Year Driven by ETF Inflows and Altcoin Momentum

Ethereum (ETH) has surpassed Bitcoin (BTC) in spot trading volume for the first time in over a year, signaling a potential shift in market dynamics. According to July 23 data from CryptoQuant, ETH’s weekly spot volume reached $25.7 billion, outpacing BTC’s $24.4 billion. This marks the first instance of ETH leading in spot volume since June 2024 and reflects growing capital allocation to altcoins. Bitcoin’s market dominance fell nearly 3% in a week, dropping from 63.76% to 60.78%, the steepest weekly decline this year [1]. The ETH/BTC ratio, which measures Ethereum’s relative strength against Bitcoin, rose to 0.031 from 0.018 since April, its highest level since January 2025 [2].

The trend is reinforced by ETF flows. Ethereum-based ETFs have recorded 15 consecutive days of inflows, with $533.87 million entering ETH ETFs on July 22 alone, while Bitcoin ETFs faced net outflows of $67.93 million. The ETH/BTC ETF holding ratio climbed from 0.05 to 0.12, indicating institutional favor for Ethereum [3]. On-chain data further highlights ETH’s resilience: reduced exchange inflows suggest lower sell pressure, potentially supporting continued outperformance if demand remains strong [4].

Market sentiment aligns with these structural shifts. Social media discussions across platforms like X, Telegram, and Reddit increasingly focus on altcoins rather than Bitcoin, despite BTC’s recent price rally to $123,000. Total altcoin spot trading volume surged to $67 billion, the highest since March 2025 [5]. However, Ethereum’s momentum remains fragile. The Altcoin Season Index, which measures market breadth, peaked at 55 but dropped to 34, indicating the market has not yet confirmed a full altseason. Analysts note the index typically needs to hit 75 to signal a sustained shift [6].

Bitcoin’s weakening position is evident in technical indicators. BTC-USD dipped below $120,000, with support levels under pressure, while Ethereum’s perpetual open interest rose over 55% in a week. Some experts forecast ETH could reach $4,000 by Q3 2025, citing institutional adoption and risk-on sentiment [7]. Yet Ethereum faced a short-term correction, falling over 7% from its 2025 high as validator unstaking activity hit an 18-month peak, underscoring market volatility [8].

Institutional activity underscores the divergence. Ethereum attracted $2.12 billion in weekly inflows, outpacing Bitcoin’s $1.4 billion, despite BTC retaining 51.2% market cap dominance [9]. This capital rotation coincided with a 1.4% drop in the total crypto market cap to $3.9 trillion, reflecting shifting investor priorities [10]. Traders are now monitoring whether Ethereum’s outperformance signals a structural trend or a temporary correction.

While Ethereum’s ecosystem advantages—such as DeFi and smart contract innovation—bolster its appeal, the sustainability of its gains hinges on macroeconomic factors, regulatory clarity, and continued ETF inflows. Analysts caution that further Bitcoin weakness could exacerbate risk-off sentiment, potentially curtailing altcoin gains. The coming weeks will test whether Ethereum can maintain its momentum amid broader market uncertainties.

Source:

[1] [Ethereum Trading Volume Overtakes Bitcoin](https://cryptodnes.bg/en/ethereum-trading-volume-overtakes-bitcoin/)

[2] [Altcoin Breakout? ETH Outpaces BTC in Volume, Demand...](https://crypto.news/altcoin-breakout-eth-outpaces-btc-in-volume-demand-and-etf-flows/)

[3] [Ethereum ETFs Attract $533.87M Inflow on July 22](https://www.ainvest.com/news/ethereum-news-today-ethereum-etfs-attract-533-87m-inflow-july-22-largest-launch-institutional-demand-drives-8-32b-cumulative-inflows-2507/)

[4] [Key Inflection Point In Crypto Markets](https://insights.deribit.com/industry/key-inflection-point-in-crypto-markets/)

[5] [Is Ethereum fated for more upside? Here’s what analysts think](https://coinmarketcap.com/community/articles/6881f285aa6ae55a2ddd7d60/)

[6] [Altcoin Season Index, Ethereum’s Relative Strength](https://www.yellow.com/research/why-ethereum-is-surging-expert-forecasts-whale-buying-and-the-future-of-eth-in-2025)

[7] [Why Ethereum Is Surging: Expert Forecasts, Whale Buying...](https://yellow.com/research/why-ethereum-is-surging-expert-forecasts-whale-buying-and-the-future-of-eth-in-2025)

[8] [Ether Stumbles as ETH Validator Exit Queue Hits 18-Month High](https://www.fxstreet.com/cryptocurrencies/news/ether-stumbles-as-eth-validator-exit-queue-hits-18-month-high-202507240640)

[9] [Ethereum Breaks Records as Crypto Funds See $4.39B...](https://www.mitrade.com/au/insights/news/live-news/article-3-976878-20250722)

[10] [Bitcoin Price Slips Below $120K as ETFs Reverse...](https://www.tradingnews.com/news/bitcooin-price-stalls-below-120k-usd)