Bitcoin’s Grip Weakens: Dominance Plummets to 3-Month Low While ETH Soars Past $3,600

Crypto markets flipped the script this week as Ethereum stole Bitcoin's thunder—again.

ETH bulls smashed through the $3,600 barrier while BTC's market share crumbled to its lowest since April. The shift signals what analysts call 'altcoin season'—that magical time when traders chase bigger gains (and bigger risks) outside the king coin.

Meanwhile, Wall Street suits still can't decide if this is 'digital gold' or a casino. Place your bets.

At the same time, Ethereum was one of the standout performers today, rising 5.56%, amid significant ETF inflows. Its dominance rose 1.87%, just as the ETH price briefly broke $3,600 for the first time since January.

What is more, Ethereum attracted significant ETF inflows, with $727 million on July 16 alone. BlackRock’s ETHA accounted for about $499 million of that figure. Moreover, monthly inflows rose 36%, outpacing Bitcoin ETFs, which saw their inflows grow by 10%.

Regulatory tailwinds boost Ethereum and altcoins

Most other altcoins registered strong gains, as traders converted their bitcoin profits into tokens with more potential upside. The likely reason for the market’s appetite for risk is the passage of three crypto-related bills, which will significantly reshape the industry.

Notably, the recently passed Clarity Act delineates the jurisdiction between the SEC and the CFTC. This is particularly important for altcoins, including Ethereum. Virtually all altcoins were previously considered securities, which meant that they had to adhere to stringent securities laws.

For Ethereum, the passage of crypto legislations opens an opportunity for more institutional investment and participation. Due to its position as the largest and oldest blockchain that enables smart contracts, it is attracting significant institutional capital. What is more, legislation will likely attract even some conservative investors to look beyond Bitcoin for opportunities in the crypto arena.