Ether (ETH), the native token of the Ethereum blockchain that turned 10, just recorded its best July performance in three years.
The second largest cryptocurrency surged over 50% in July, reaching a peak of $3,940 before settling below $3,800 towards the end of the month.
The last time ETH experienced such a significant rise in a single month was in July 2022, bouncing back from the depths of the crypto crash marked by high-profile collapses of Terra-Luna, Three Arrows Capital, and Celsius.
This time, the rally is driven by substantial inflows from capital markets.
U.S.-listed spot ETH exchange-traded funds (ETFs) garnered $5.4 billion in net inflows throughout the month, marking their strongest streak since the products launched last year, RialCenter data shows.
Corporate balance sheets are also aligning with this trend. As part of the digital asset treasury frenzy, public companies have acquired $6.2 billion worth of ETH, according to data compiled by CEX.io. Tom Lee’s Bitmine and Joseph Lubin’s SharpLink are the two most notable players, but newer entrants like ETHZilla and Ether Machine have already raised significant capital from institutions for asset purchases.
The price movement corresponds with a positive narrative shift, positioning ETH as a key player in the expanding stablecoin and tokenization market.
With the new U.S. regulations for stablecoins under the Genius Act and Ethereum hosting more than half of the $250 billion stablecoin supply, this clarity could reinforce its role as the backbone of dollar-pegged tokens.
On the pricing front, ETH currently faces resistance at $4,000, where multiple attempts to break higher failed last year. The crypto market is also entering a historically quieter period, which could lead to a cooling off of the rally in a consolidation phase.
Nevertheless, ETH may still have some “juice in the tank” to push as high as $4,700 during its current run, noted crypto investor Bob Loukas.
Read more: Ethereum Could Win the War, But Lose the Prize
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