- Ethereum jumps 50% in a month, briefly hitting $3,850 before retracing to $3,630, signaling strong bullish momentum.
- ETH spot volume surpasses Bitcoin’s, reaching $25.7B, with altcoin market volume hitting a 4-month high at $67B.
- Institutional inflows hit $8.65B, led by BlackRock, Fidelity, and public firms like SharpLink and BitMine, accumulating ETH.
Ethereum (ETH) surged over 50% in the preceding month to a peak of $3,850 before a slight retracement to trade in the region of $3,630. The dramatic turnaround was brought about by a spell of FOMO (fear of missing out) first.
A sudden 5.8% depreciation of the ETH/BTC pair in the previous 60 hours showed a trend pattern similar to early May trends, when rising trading activities heralded localized maxima followed.
New data points towards a potential second bullish wave. On-chain analytics platform Santiment believes a cooling off in trading volumes as well as social volumes could be the calm before yet another upswing. Historically speaking, these declines represent fatigue as well as frustration on the part of investors, many times bringing new price action with a reset for that market.
Adding to the positivity was Ethereum’s spot trading volume outstripping that of Bitcoin for the first time in over a year. ETH clocked a spot trade volume of $25.7 billion last week, while that of BTC was $24.4 billion.
Altcoin trading in total also saw a resurgence, with aggregate spot volumes hitting a record $67 billion on July 17, a level last seen in March, signaling a persistent flow of funds into high-potential altcoins.
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Ethereum Institutional Inflows Hit $8.65 Billion
Beyond retail buzz, institutional demand for ETH is slowly rising. A year after the spot Ethereum ETFs’ release in the US, investment giants like BlackRock and Fidelity together experienced combined net inflows totaling $8.65 billion, as reported by SoSoValue.
A 14-day inflow streak with no stopping is a testament to the long-term conviction institutions hold for Ethereum’s spot in diversified portfolios.
Moreover, this institutional zeal is not restricted to ETFs. Even more corporations listed on stock exchanges now also feature Ethereum on their corporate records, similarly to early adoption trends for corporate adoption of Bitcoin.
According to CoinGecko data, SharpLink Gaming (360,807 ETH) and BitMine Immersion Technologies (300,657 ETH) gathered significant holdings. Major companies, including Coinbase (137,300 ETH), Bit Digital (120,306 ETH), BTCS (55,788 ETH), and GameSquare Holdings (10,170 ETH), also reported their Ethereum holdings.
Despite yesterday’s steep correction potentially being a cooling-off mechanism for Ethereum, fundamentals ranging from surging retail demand to top volume spot indicators provide a bullish interpretation.
If history is set to repeat itself and action in trading continues to consolidate, Ethereum could be gearing up for yet another strong flip-up facilitated by additional capital inflows as well as larger market repositioning into altcoins.
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