In July, Ethereum (ETH) surged over 53% from $2,398 to $3,850, outperforming Bitcoin (BTC). On-chain data suggests capital is flowing into BTC, not out, debunking the Bitcoin-to-Ethereum rotation narrative. The U.S. SEC approved in-kind creations and redemptions for spot Bitcoin and Ethereum ETFs, reflecting growing institutional demand.

Bitcoin’s Realized Cap hit an all-time high of $1.018 trillion on July 25, indicating continued capital inflows. Both Bitcoin and Ethereum are seeing parallel accumulation, with Ethereum’s rally fueled by new inflows. BlackRock added $1.2 billion in ETH last week, compared to $267 million in BTC.

Ethereum open interest is at its highest in over two years, comprising nearly 40% of the market. Daily active addresses for Ethereum jumped 12.7%, with 91% of ETH holders now in profit. Institutional demand for Ethereum is rising, with options on spot Bitcoin ETFs now approved by the SEC.

Read more at Yahoo Finance: Ethereum’s Rally Driven By Fresh Inflows, Not A Rotation Out Of Bitcoin: Report