Ethereum gained 19% in July against Bitcoin's 8%, and US spot ETH ETFs pulled in $365.17 million, their strongest month this year. On-chain valuation and exchange-flow measures, however, remain short of the levels seen at previous Ethereum-Bitcoin turning points.
Ethereum's rally against Bitcoin isn't confirmed yet, even after its first sustained relative advance in months. Stronger fund demand and corporate accumulation drove the move, but the on-chain data that flagged previous reversals hasn't caught up.
ETH gained 19% during July, climbing as high as $1,970 before retreating to $1,868 at press time. Bitcoin rose 8% over the same stretch but repeatedly failed to break the $65,000 level. As a result, the ETH/BTC ratio pushed above 0.030 for the first time in three months before easing to 0.02962, up more than 10% over the past month.
ETF and treasury flows tilt toward Ethereum
US spot Ethereum ETFs recorded $365.17 million in net inflows during July, their strongest month this year, while Bitcoin ETFs drew $172.43 million, their weakest since launching in January 2024. The turnaround follows more than $1 billion in ETH ETF outflows over the prior two months. The newly launched Morgan Stanley Ethereum Trust also added about $20 million in assets in its first days of trading, backed by a distribution network of roughly 16,000 financial advisers overseeing about $7 trillion in client assets.
Corporate treasuries moved the same way. BitMine, Ethereum's largest corporate holder, added to its position every week of July, though its pace slowed, taking its balance from about 5.70 million ETH at the end of June to 5.79 million ETH by July 26. Strategy, Bitcoin's largest corporate holder, made no purchases during the month, instead focusing on cash reserves and its preferred securities.
On-chain gauges show the reversal remains unconfirmed
The ETH/BTC ratio still sits 13% lower this year and about 73% below its 2017 high of 0.11. Its stabilization near 0.02963 halted the decline from a multiyear low of roughly 0.028, but has done little to repair the broader underperformance.
By another measure, the ETH/BTC MVRV ratio has fallen to 0.65 from 0.95 in August 2025, yet previous structural bottoms in 2019 and early 2025 only formed once the measure dropped below 0.45. Exchange flows tell a similar story: the ratio of ETH to Bitcoin deposits on trading platforms has fallen from above 1.5 last August to about 0.8, while earlier reversals formed only once that ratio approached 0.4.
For July's move to become a broader reversal, the ETH/BTC ratio would need to hold above 0.030 while valuation and exchange-flow measures keep moving toward their historical bottoming ranges. Until then, the data points to a recovery from depressed levels rather than a confirmed floor against Bitcoin.
Source: CryptoSlate
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