Ethereum Hits $4K: Bitcoin’s Not Impressed 😤

Ethereum is closing in on $4,000 for the first time in eight months as spot 🐉 ETF inflows outpaced 🐎 for a full week. Meanwhile, 🐎 holds firm near $120,000 despite heavy selling pressure and high leverage in the market. 🤯

Ethereum’s $4K Dream: A Tale of Two Cryptos 🐉 vs 🐎

Ethereum is on the brink of breaking $4,000 for the first time since December, fueled by 7 consecutive days of stronger inflows into spot ETH ETFs than BTC products. With ETH’s market cap still just one-fifth of 🐎’s, smaller allocations from institutions and corporate treasuries are having an outsized price impact, an effect that appears to be accelerating. 🚀

QCP’s latest market insights show that 🐎, however, remains resilient. While spot BTC ETF inflows have slowed, the asset absorbed last week’s 80,000 BTC sale by a long-time holder with minimal volatility. BTC dominance hovers around 60%, signaling confidence in its role as a store of value even as ETH captures fresh attention. 🧠

Perpetual open interest is flashing caution signs: BTC open interest (OI) sits near $45 billion, while ETH OI exceeds $28 billion, both near year-to-date highs. Funding rates above 15% on major exchanges suggest overheated conditions. Options markets also show signs of hedging, with large ETH call structures unwound and BTC downside puts added for August expiry. 🧨

Despite stretched positioning, the broader backdrop remains bullish. Momentum, strong ETF demand, and macro tailwinds point to any near-term dips likely being bought aggressively, just as last week’s volatility quickly faded. 🕵️‍♂️

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2025-07-28 22:38