Ethereum Skyrockets 56% in July, Leaving Bitcoin in the Dust Where It Matters

Ethereum just pulled off a stunner—posting a jaw-dropping 56% rally in July while Bitcoin lagged behind in a critical metric. The smart contract giant isn’t just flipping the script; it’s rewriting the playbook.

The Numbers Don’t Lie

No fluff, no hype—just cold, hard data. ETH’s surge wasn’t a fluke; it was a masterclass in outperformance. Meanwhile, Bitcoin? Still stuck in its store-of-value narrative like a boomer clinging to gold ETFs.

Why It Matters

Decentralized finance, NFTs, layer-2 scaling—Ethereum’s ecosystem is firing on all cylinders. Bitcoin’s got brand recognition, but ETH’s utility is stealing the spotlight. Traders noticed. The market noticed. Even your crypto-skeptic uncle noticed.

The Cynical Kick

Wall Street’s still trying to mint its own stablecoin, but Ethereum’s already doing the heavy lifting—without the suits and conference calls. Maybe banks should stick to overcharging for wire transfers.

In Brief

• Ethereum jumped 56% in July, driven by record ETF inflows, reaching $5.37 billion in 19 days.
• ETH is being compared to a 90s tech stock, surpassing bitcoin in institutional interest and market narrative.
• Ethereum network fundamentals remain weak, with revenue up only 3%, fueling doubts about the sustainability of the crypto rally.

Record Inflows: The Ether ETF Triggers a Historic Rush on ETH

In July, ETH soared by 56%, reaching a peak of $3,862. It’s the first time since 2022 that the cryptocurrency has posted a monthly gain of over 50%. This rally was driven by unprecedented momentum in the ETF market, with 19 consecutive days of net inflows totaling more than $5.37 billion.

July 16 stood out with a record single-day inflow of $727 million. Riding this wave, BlackRock’s Ethereum ETF (iShares ETHA) became the third-fastest crypto ETF in history to surpass $10 billion in assets under management—achieved in just 251 days.

Ethereum Outpaces Bitcoin: A New Crypto Leader in the Making?

According to Eric Balchunas, senior ETF analyst at Bloomberg, this rally is repositioning Ethereum in the institutional narrative. Unlike Bitcoin, still seen as a FORM of digital gold, ETH is beginning to be viewed more like a 90s growth tech stock.

This analogy suggests that Ethereum could become a speculative vehicle for mass blockchain adoption. Its current momentum goes well beyond that of a simple store of value. The market now seems to treat it as an innovative asset, with growth potential structured around its crypto network.

Prix en orbite, réseau sous-performant : faut-il croire à ce rallye ETH ?

But the euphoria isn’t universal. Markus Thielen, CEO of 10x Research, warns that Ethereum’s network revenue grew by only 3% over the month, while on-chain activity increased by just 5%. These modest figures contrast with the exuberance in price action.

More concerning, according to Thielen, 90% of ETH’s price movements in July originated during Asian trading hours. This geographic concentration may point to speculative volatility driven more by short-term crypto dynamics than by network fundamentals.

For comparison, during the previous market peak in November 2021, Ethereum generated $1.5 billion in monthly revenue with a market cap of $300 billion—implying a 6% yield. Today, with a market cap of $466 billion and annual revenues of $764 million, that yield drops to just 1.6%.

ETH may be entering a new chapter—fueled by ETF flows, yet restrained by limited on-chain fundamentals. Can its valuation hold up if capital inflows recede? Discover how July’s crypto flows shed light on Ethereum’s momentum and the road ahead for a potential new bull phase.

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