Ethereum Inflows Surge 138% as Altcoin Rotation Looms
Ethereum institutional inflows jumped 138% year-over-year to 6.8 million ETH, dwarfing Bitcoin’s 36% gain to 1.3 million BTC. Spot ETF purchases, 3–5% staking yields and growing DeFi and tokenization use cases are driving the rally. The Dencun upgrade and a 45% quarterly surge in transaction volume add further bullish catalysts. According to Alphractal, only 4 of 55 altcoins have outperformed Bitcoin in the past 60 days, signaling a low-breadth accumulation phase before a broader altcoin rotation. Early-cycle tokens like SNX and BNB are already showing relative strength, while a multi-year wedge breakout hints at an upcoming rally led by Ethereum. Traders should watch for rising risk appetite and diversify into leading altcoins to capture potential upside.
Bullish
Strong institutional demand for Ethereum, driven by spot ETF inflows, staking yields and DeFi growth, underpins both short-term price support and long-term upside. Positive catalysts like the Dencun upgrade, a 45% surge in transaction volume and a multi-year wedge breakout add technical momentum. Limited altcoin breadth ahead of a rotation, as only 4 of 55 coins have outperformed Bitcoin, suggests renewed buying pressure on ETH and leading altcoins once risk appetite returns.