Ethereum Soars to 6-Month Peak: ETF Frenzy and Stablecoin Regulation Fuel the Rally

Ethereum's bulls are back in charge—smashing through resistance to hit highs not seen since January. Two catalysts lit the fuse: a wave of institutional money chasing ETH ETFs, and regulators finally blinking on stablecoin rules (better late than never).

Wall Street's latest crypto U-turn sends ETH flying

When the SEC greenlit Ethereum ETFs last quarter, traditional finance did what it does best—flipped from skeptics to bagholders overnight. Now billions in dry powder are flooding in, proving once again that bankers love decentralization... as long as they control the custodial wallets.

Stablecoins get a legal framework—no really, this time

After years of regulatory limbo, Congress crammed through a bare-bones stablecoin bill. It's riddled with loopholes big enough to drive a BRRR machine through, but markets don't care—certainty (even fake certainty) beats chaos any day.

The rally's got legs, but watch the macro headwinds

With institutional flows kicking in and DeFi activity picking up, ETH could test its ATH by Q3. Just don't tell the Fed—they might 'accidentally' drop rates 50bps to 'save the economy' right as crypto starts eating their lunch.

The crypto market cap currently stands at $3.93 trillion, with Bitcoin holding steady above $118,000. Ethereum is trading at $3,557 and XRP at $3.43, both showing minimal movement in the day. 

In a major move, President Trump signed the GENIUS Act into law on July 18, creating the first clear U.S. framework for stablecoin regulation. This is expected to unlock a wave of institutional capital and accelerate crypto adoption. 

Ethereum Hits 6-Month High with 50% Rally

Ethereum is making headlines and has jumped to a six-month high of $3,677 on July 18, marking a 50% rally since it dipped NEAR $2,400 earlier this month. One big reason for its recent surge is the passage of the GENIUS Act, which finally brings some clear rules for stablecoins and is crucial for Ethereum’s ecosystem. 

Rising institutional interest and record inflows into spot ETH ETFs and staking activity are also fueling the price run. 

ETH ETFs Overtake Bitcoin in Daily Inflows

For the first time ever, ethereum ETFs outpaced Bitcoin ETFs in daily inflows. On Thursday, US spot Ether ETFs pulled in $602 million, beating the $522.6 million that went into Bitcoin funds. The surge follows a record-setting $726 million inflow into ETH ETFs the day before.  

BlackRock’s ETHA led the charge, pulling in $550 million and outperforming its own Bitcoin product. James Seyffart noted the rise in demand for Ethereum ETFs and shared that they’ve pulled in over $5.5 billion since launch, with $3.3 billion of that coming in just since mid-April.

Ethereum ETF Flows are booming. As a group the US spot Ether ETFs have taken in over $5.5 billion since launch. Which includes over $3.3 billion since mid April. pic.twitter.com/VFk5CM2rGP

Analysts See Long-Term Upside for Ethereum

Analyst Michaël van de Poppe highlights a strong shift in market sentiment that began back in April. He notes that the CNH/USD and ETH/BTC pairs bottomed, while gold peaked, signaling a MOVE from a risk-off to risk-on environment. Since then, ETH has outperformed BTC by 70%, with more upside likely over the next 12–24 months.

The $ETH ETF inflow combined with the approval of the Stablecoin Bill provides a whole new thesis surrounding the #Ethereum ecosystem.

The biggest inflows in history on the ETF, outperforming $BTC inflow.

This bull market is getting started. pic.twitter.com/12UkXXyAn9

He also notes that the massive ETH ETF inflows outpacing Bitcoin’s and the approval of the Stablecoin Bill have kicked off a new phase for Ethereum, possibly signaling the start of the bull market.

Ethereum Treasuries Surge

More companies are adopting Ethereum as a treasury asset, mirroring MicroStrategy’s Bitcoin strategy. BitMine has acquired 300,000+ ETH, aiming to stake 5% of the total supply. SharpLink Gaming and Bit Digital are also building large ETH reserves, raising billions to expand holdings.

With both HYPE and real progress behind it, many analysts believe ETH’s rally may have much more room to run.