Ethereum Gains Momentum Amid Surging ETF Inflows
While Bitcoin (BTC) remains stable above $109,500, Ethereum (ETH) has emerged as the top-performing major cryptocurrency, gaining over 5% in the last 24 hours. This rally is being driven by record inflows into Ether ETFs, renewed interest in tokenization of real-world assets, and rising speculative trading volumes.
Ether ETFs have attracted more than $800 million in two weeks, doubling Bitcoin’s sub-$400 million inflows.
Institutional investors are turning to Ethereum as it continues to evolve beyond just a smart contract platform. Its ability to tokenize stocks, bonds, and other financial instruments is fueling long-term bullish sentiment.
Volatility Gap Widens Between ETH and BTC
The spread between Ether’s implied volatility and Bitcoin’s has reached its highest level since late 2022, a strong indicator that traders expect larger price swings in ETH in the near term.
Open interest in ETH perpetual contracts on Kraken hit a record 30,000 ETH, signaling heightened speculative activity.
Despite the excitement, analysts note that market direction remains unclear, with the long/short ratio still lagging behind early 2025 levels. This suggests that while interest in Ether is high, traders are not yet unanimously bullish.
Dogecoin Follows Ethereum in Bullish Surge
Dogecoin (DOGE) has also joined the rally, outperforming many major altcoins. Its strong correlation with Ethereum’s beta movements has allowed it to benefit from the current risk-on sentiment in the broader crypto market.
Meanwhile, Solana (SOL) rose 4.7%, Cardano (ADA) gained 3.3%, and XRP added 2%, indicating a broad-based crypto uptrend led by Ethereum and meme tokens.
Key Macro Triggers Ahead: CPI and Fed Rate Path
Investors are watching for the upcoming U.S. CPI data, which could influence the Federal Reserve’s interest rate decisions. Any signs of cooling inflation might boost appetite for risk assets, including crypto.
Ethereum remains well below its all-time high, while Bitcoin is trading near its peak — presenting a potential upside opportunity for ETH.
Conclusion
Ethereum’s rising utility in real-world asset tokenization, combined with strong ETF inflows and speculative trading volume, suggests that ETH may be on track to challenge its all-time high. With macroeconomic conditions still in play, the next few weeks could be pivotal for both Ethereum and the broader altcoin market.