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Here's Why Ethereum ETFs are Surging

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Ethereum (ETH) is skyrocketing, outperforming Bitcoin in recent sessions. Over the past month, Ethereum has gained 50% while Bitcoin has added about 2%. Since mid-April through early August, ETH-USD has been trading in a steady ascending channel, with swing lows rising from $3,200 to $3,729 and highs moving from $3,936 to $4,013.

Ethereum continues to dominate as the leading DeFi platform, with bullish price predictions caused by growing interest in staking, tokenization and institutional adoption.

Behind the Drivers

Whale and institutional buying have been a driving force behind Ethereum’s rally. Ethereum’s network activity is also surging — daily transactions hit 1.74M on Aug. 6 (the highest since May 2021), monthly volumes topped 46 million, and staked ETH now accounts for over 15% of total supply. These factors make the case for a sustained demand above $4,000.

Institutional Treasuries and ETF Inflows

Corporate Ethereum treasuries are rapidly expanding. BitMine holds 833,000 ETH ($3.3B), SharpLinkGaming has 522,000 ETH ($2.1B), and The Ether Machine holds 345,000 ETH ($1.4B). Standard Chartered projects that treasuries could expand to 10% of circulating supply over time, potentially injecting another $50 billion of demand, as quoted on tradingnews.com.

Meanwhile, U.S. spot Ethereum ETFs have attracted nearly $5B in net inflows over the past month, outperforming Bitcoin ETFs proportionally and creating a solid long-term support base, as mentioned on the same source.

Macro, Regulatory, and Network Tailwinds

A 90% probability of a U.S. Fed rate cut in September is boosting risk assets, including Ethereum. On the regulatory side, possible SEC approval for staking within U.S. spot ETH ETFs could unlock more opportunities.

On July 17, 2025 BlackRock also filed with the SEC to include staking in its ETHA exchange-traded fund (ETF), which also boosted the sentiment for crypto’s second-largest coin.

The Shanghai upgrade has unlocked over 24 million staked ETH, improving liquidity dynamics, while layer-2 adoption on networks such as Polygon and Optimism has surged, jointly processing over 20 million transactions in July.

ETFs in Focus

Exchange-traded funds (ETFs) like 21Shares Core Ethereum ETF (CETH - Free Report) , Vaneck Ethereum ETF (ETHV - Free Report) , Invesco Galaxy Ethereum ETF (QETH - Free Report) , Grayscale Ethereum Trust ETF (ETHE - Free Report) and iShares Ethereum Trust ETF (ETHA - Free Report) added about 50% each over the past month.

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