Main Points：
- Bitcoin Rebound: BTC recovered to $120,000 after dipping to $116,000 on July 14.
- Ethereum Surge: ETH spiked over 10% in 24 hours, reaching $3,400—the highest since January.
- Glassnode Analysis: Investors bought dips between $116,000–$118,000, accumulating roughly 196,600 BTC (~$23 billion).
- ETF Inflows: Spot ETH ETFs saw over $900 million of inflows last week (29% of year-to-date), with projections to exceed $1 billion this week.
- Institutional Buyers: Sharplink Gaming acquired 74,000 ETH (~$252 million), while Bitmine Immersion bought over $500 million worth of ETH.
- Market Sentiment: Strong on-chain indicators and ETF demand underpin bullish momentum amid broader macro stability.
BTC Climbs Back Above $120,000 as ETH Rockets 10%
1. Market Overview
Over the past week, the cryptocurrency market displayed a robust recovery. Bitcoin rebounded strongly, reclaiming the $120,000 level after a brief pullback, while Ethereum led the upside with a more than 10% surge in a single day, surpassing $3,400 for the first time since January.
Figure 1 (above) illustrates Bitcoin’s trajectory over the last seven days, rising from $110,000 on July 11 to $120,000 by July 17. Likewise, Figure 2 captures Ethereum’s steady climb from $2,780 to $3,400 over the same period.
2. Bitcoin Dip Buyers Step In
After a swift sell-off on July 14 that saw BTC briefly test $116,000, on-chain analytics firm Glassnode reported that investors aggressively bought the dip. Between $116,000 and $118,000, market participants accumulated roughly 196,600 BTC, valued at approximately $23 billion (¥3.4 trillion using 1 USD = ¥148). This accumulation underscores strong buyer conviction at key support zones.
Glassnode’s data suggest that both retail and institutional holders viewed the pullback as a buying opportunity, reinforcing Bitcoin’s role as a store of value amid periodic volatility.
3. Ethereum’s ETF-Fueled Rally
Ethereum’s performance was even more striking. According to CoinDesk, ETH rose 10% in 24 hours, boosting its year-to-date gains to 2% and weekly gains to 22%. The catalyst: record inflows into spot ETH ETFs.
- Last Week’s Inflows: Over $900 million poured into US-listed ETH spot ETFs—29% of total 2025 inflows.
- Short-Term Surge: In the first two trading days of the week, these ETFs attracted $450 million; analysts project weekly inflows to top $1 billion.
Figure 3 displays comparative ETF inflows, highlighting ETH’s relative outperformance versus BTC ETFs (which saw $4.5 billion of inflows in the first two days).
4. Institutional Appetite Intensifies
Large holders are doubling down on Ethereum:
- Sharplink Gaming acquired 74,000 ETH ($252 million), with $257 million more earmarked for additional purchases.
- Bitmine Immersion invested over $500 million in ETH.
These sizeable acquisitions by crypto‐native funds reflect confidence in Ethereum’s long-term fundamentals, particularly after the Merge and the network’s growing DeFi and NFT ecosystems.
5. Broader Market Dynamics
Aside from dip buying and ETF flows, several cross-market factors contributed to the rally:
- Macro Stability: With US inflation cooling and no imminent rate hikes, risk assets like cryptocurrencies regained appeal.
- Regulatory Clarity: Advancements in spot ETF approvals and clearer SEC guidelines have reduced uncertainty.
- DeFi Revival: Ethereum’s DeFi TVL (Total Value Locked) has ticked upward as yields on stablecoin lending become more attractive relative to traditional finance.
6. Outlook and Key Risks
Bullish Case
- Continued ETF inflows could drive sustained price appreciation.
- Further institutional adoption, including corporate treasuries, may widen demand.
- Ethereum’s roadmap (sharding, scalability upgrades) supports its long-term value proposition.
Potential Headwinds
- Regulatory setbacks (e.g., SEC litigation) could dampen sentiment.
- A sudden macro shock or rate-hike surprise might trigger broad-based selling.
- Network congestion or DeFi exploits could undermine confidence in Ethereum.
Conclusion
The recent rebound in Bitcoin and explosive performance of Ethereum underscore a resilient market buoyed by strategic dip buying, robust ETF demand, and growing institutional participation. While macroeconomic stability and regulatory clarity have paved the way for this surge, investors should remain vigilant to potential headwinds. Nevertheless, as Bitcoin reclaims $120,000 and Ethereum reasserts its leadership above $3,400, the stage is set for the next chapter in crypto’s evolution—one defined by broader adoption, product innovation, and deeper integration with traditional finance.
