Bitcoin Sets a Record Monthly Close in July; Ethereum Turns Ten
These milestones highlight the maturation and growing institutional interest in the cryptocurrency market
Bitcoin concluded July on a high note, posting a record monthly close of $116,480, underlining the asset’s continued bullish momentum. The surge has been largely driven by deepening institutional involvement, with spot exchange-traded funds (ETFs) and corporate treasuries increasingly treating Bitcoin as a long-term strategic reserve. This sustained interest from major financial entities has further cemented Bitcoin’s status as a maturing store of value in a volatile macroeconomic landscape.
Market Correction Within an Uptrend
While Bitcoin has witnessed a 7% correction from its recent all-time high of $123,200, the price action remains firmly bullish. The pattern of higher highs and higher lows indicates that the broader uptrend remains intact. At present, Bitcoin is hovering around $114,680 after briefly dipping to test previous support near $112,000, its earlier record high, before rebounding. Such movements are indicative of healthy consolidation phases within a long-term upward trajectory.
“We remain in bullish territory. Should the $112,000 level hold as support, it could form the base for bitcoin’s next leg higher,” said Simon Peters, Crypto Market Analyst at eToro.
Ethereum Celebrates a Decade of Innovation
Ethereum recently marked a major milestone: ten years since its mainnet launch on July 30, 2015. Over the past decade, Ethereum has transformed the digital asset landscape, becoming the foundational platform for decentralised applications, smart contracts, and the broader Web3 movement. With over $80 billion currently locked in DeFi protocols built on Ethereum, the network continues to be a critical infrastructure layer for blockchain innovation. Its historical price appreciation, a staggering 560,000% since inception, underscores its transformative role, though it still trades 35% below its all-time high of $4,870 set in November 2021.
Altcoin Weakness Reflects Market Rebalancing
Elsewhere in the crypto ecosystem, altcoins faced notable pressure in recent days. The total market capitalisation excluding Bitcoin contracted by $115 billion, representing a 7.5% decline from recent highs. This broad-based retreat was led by speculative assets such as memecoins, which posted double-digit losses. While the short-term sentiment appears fragile, seasoned investors may interpret the decline as a tactical entry point, particularly in projects with strong fundamentals or institutional backing.
Institutional Appetite for Bitcoin ETFs Accelerates
The appetite for Bitcoin among institutional investors remains robust, as evidenced by the longest-ever streak of positive net inflows into US-listed spot Bitcoin ETFs. These funds have increasingly become a key on-ramp for traditional capital to access digital assets, offering regulated exposure without the complexities of direct custody. This trend reflects a broader shift in portfolio strategy, with Bitcoin gaining legitimacy as a hedge in uncertain macro environments.
“There may be some choppiness as traders digest the impact of President Trump’s reciprocal tariffs, due to take effect on 7 August for countries that haven’t signed new trade deals with the US,” added Peters. “The implications of these tariffs on global markets are still unfolding.
Memecoins Take a Hit Amid Broad Market Weakness
Memecoins were among the hardest hit during the recent market pullback. Notably, tokens such as $BONK and $FARTCOIN suffered steep declines of 22% and 30%, respectively. Their pronounced volatility highlights the speculative nature of such assets, which remain particularly sensitive to broader market sentiment and liquidity shifts. For high-risk investors, these assets may still offer short-term opportunities, though the inherent risks remain elevated.
Grayscale's IP Token Defies the Trend
One exception to the broader altcoin slump was $IP, the native token of the Story network. It gained 12% over the past week on the back of significant institutional news: Grayscale, the world’s largest digital asset investment platform, announced plans to launch the Grayscale Story Trust. This new investment vehicle will provide accredited investors with exposure to $IP, signalling confidence in the token’s long-term utility and narrative potential. The news served as a catalyst for price appreciation in an otherwise bearish market.
Ethereum's Strategic Position for the Next Market Cycle
Looking forward, Ethereum is strategically positioned to be a prime beneficiary of any forthcoming altseason. Its robust network development, combined with its role as the preferred platform for decentralised finance and NFTs, makes it an attractive choice for both institutional and retail participants. Regulatory momentum in the United States could further enhance Ethereum’s appeal, potentially establishing it as the default layer for compliant DeFi protocols and tokenised financial instruments.
Ethereum ETFs Set New Inflow Records
A significant driver of Ethereum’s recent price performance has been the influx of capital into spot Ethereum ETFs. These products recorded their twentieth consecutive day of net inflows last Thursday, marking the longest uninterrupted inflow streak since their debut a year ago. The run, which began on July 3rd during the US House Committee on Financial Services’ "Crypto Week", has helped Ethereum ETFs accumulate a total of $21.52 billion in assets under management. This accounts for approximately 4.77% of Ethereum’s entire market capitalisation, underscoring the growing role of ETFs in bridging traditional and digital finance.
Breakout Month for Ethereum ETFs
July proved to be the strongest month on record for Ethereum spot ETFs, attracting $5.43 billion in inflows, more than double the previous peak of $2.08 billion seen in December 2024. This sharp increase in capital allocation has coincided with a 55% price appreciation in Ethereum, from $2,500 to $3,950. The rally has been supported not just by ETF demand but also by a growing number of public companies adopting Ethereum for treasury diversification, further integrating the asset into corporate balance sheets.
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