Ethereum ETF Inflows Surge 56%: Is This the '90s Tech Stock Moment?

Ethereum ETFs are seeing record inflows, mirroring the growth of '90s tech stocks. Is this a sustainable surge or a fleeting moment? Let's dive in.

Ethereum ETF Inflows Surge 56%: Is This the '90s Tech Stock Moment?

Ethereum is having a moment. ETF inflows are surging, reminiscent of the dot-com boom. But is this a new paradigm or a familiar echo of market exuberance? Let’s unpack the latest developments.

Ethereum's July Rocket Ride

July 2025 was a banner month for Ethereum, with its price skyrocketing by 56%, closing the month at $3,862. This was Ethereum's best monthly performance since July 2022. Bloomberg Intelligence ETF analyst Eric Balchunas draws a comparison to early internet platforms, noting the similar growth trajectory and adoption dynamics.

ETF Inflows: A Tidal Wave

The price surge coincided with a record influx of capital into Ethereum-based ETFs. U.S. spot-ETH ETFs saw 19 consecutive days of net inflows, amassing $5.37 billion in July. BlackRock’s iShares Ethereum ETF (ETHA) saw its assets grow from $5 billion to $10 billion in just ten trading days. Balchunas called it “the ETF equivalent of a God candle.”

Ethereum vs. Bitcoin: A Flippening in Interest?

For six consecutive days in July, Ethereum ETF inflows outpaced those of Bitcoin ETFs. Ethereum funds attracted $231.2 million on July 24, compared to $226.6 million for Bitcoin. Over those six days, Ethereum ETFs gathered nearly $2.4 billion, more than triple Bitcoin’s $827.6 million. Has institutional interest shifted?

The Underlying Drivers

Analysts attribute the surge to Ethereum’s accelerating adoption and the growth of DeFi applications. Bitwise CIO Matt Hougan suggests Ethereum is still underweight in ETF portfolios and could see an additional $7–8 billion in inflows. However, on-chain metrics haven't kept pace. While the price has surged, chain activity only increased by 5% in July compared to June.

A Word of Caution

Despite the bullish sentiment, technical indicators suggest caution. Ethereum’s relative strength index (RSI) shows bearish divergence, indicating weakening buying pressure despite rising prices. Resistance at $4,000 and support at $3,700 are key levels to watch. The rapid gains and comparisons to the '90s tech stocks serve as both an inspiration and a warning.

Final Thoughts: To the Moon or Back to Earth?

Ethereum's recent performance is undeniably impressive. But as any seasoned New Yorker knows, what goes up must come down... eventually. Whether Ethereum can sustain this momentum remains to be seen, but one thing is for sure: it's going to be an interesting ride. Buckle up, folks!