Ethereum's Open Interest Surges 100% to $21 Billion Driven by ETF Inflows

Ethereum's open interest surged to $21 billion by mid-July 2025, marking a significant milestone not seen since 2022. This increase coincided with a rise in ETH's market price to approximately $2,930. The growth in open interest was driven by sustained ETF inflows that outpaced the current rate of new ETH issuance. This trend indicates a strong institutional interest in Ethereum, with traders heavily positioning themselves in Ethereum contracts, leading to multi-month highs in leverage.

From late 2023 through mid-2024, Ethereum experienced a period of rising open interest alongside increasing prices. After a market correction, the market rebounded in the second quarter of 2025. The derivatives volume accelerated in July as institutional flows increased, further fueling the growth in open interest. This surge in derivatives activity and institutional positioning highlights Ethereum's growing prominence in the cryptocurrency market.

In contrast, Bitcoin's open interest reached $40.3 billion during the same period, nearly double that of Ethereum. However, Bitcoin's open interest growth remained more gradual. Bitcoin's price climbed from $20,000 in early 2023 to above $117,000 in July 2025, with open interest rising in a parallel but slower trajectory. Over the past two months, Ethereum's open interest growth outpaced Bitcoin's, driven by increased leverage during the ETF accumulation phase. Chart trends show Ethereum leading recent derivatives activity despite Bitcoin's higher notional value in open contracts.

ETH ETFs recorded a combined daily net inflow of $204.82 million on July 11, with total assets reaching $13.53 billion. This cumulative net inflow reached $5.31 billion, accounting for 3.77% of Ethereum's market capitalization. The overall value traded across these ETFs reached $1.40 billion on the same date. ETHA, sponsored by BlackRock and listed on NASDAQ, held the largest net assets at $6.14 billion, with a daily inflow of $137.08 million and traded $990.76 million in value. ETHA also had the highest daily volume of 43.78 million units and closed at $22.80 with a 6.79% gain.

Grayscale’s ETHE on NYSE showed a cumulative net outflow of $4.26 billion despite a $9.96 million daily inflow. Its net assets stood at $3.44 billion. Grayscale’s second product, ETH, reported $823.83 million in cumulative inflows and $1.68 billion in assets. Fidelity's FETH recorded $11.99 million in daily inflows and $1.66 billion in assets. Other ETFs, including ETHW, ETHV, EZET, CETH, and QETH, all closed higher with positive net flows and daily volume activity across different exchanges.

This surge in ETF inflows and open interest indicates a significant shift in market dynamics, with Ethereum leading the growth in derivatives activity over Bitcoin. The sustained ETF inflows outpacing new ETH issuance suggest a strong demand for Ethereum, which could continue to drive its market price and open interest higher. The increased institutional positioning and leverage in Ethereum contracts further support this trend, making Ethereum a key player in the cryptocurrency derivatives market.