Ethereum’s ether (ETH) is beating Bitcoin (BTC) on recent performance, with the ETH/BTC rate rising to ~0.036—its highest level of 2025—after surging roughly 45% month over month, according to TradingView figures cited by Russia’s business outlet RBC.
Price action supports the shift. Ether pushed back above $4,000 on Aug. 8, buoyed by accelerating spot ETF demand and growing use of ETH on corporate balance sheets, Bloomberg reported. Meanwhile, CoinDesk noted ETH jumped ~21% over the past week through Aug. 11 as Bitcoin rose ~3%, underscoring the relative strength in ether.
Record-setting ETF flows tip the scales
Institutional flows are a big piece of the story. U.S.-listed spot Ether ETFs just posted their first-ever $1 billion day of net inflows on Aug. 11, with BlackRock’s fund taking in just under $640 million and Fidelity’s about $277 million, per CoinDesk’s markets brief. That single-day haul outpaced Bitcoin-linked ETFs, highlighting a shift in investor attention.
Zooming out, CoinDesk also tallied $8.7 billion in cumulative net inflows for U.S. spot ETH funds since their July 2024 debut, with BlackRock’s product reaching $10B AUM faster than most ETFs in history. Flows have been positive for weeks, a tailwind that coincided with ether’s latest rally.
Why ETH is in favor right now
1) Corporate treasuries are nibbling at ether.
A Reuters special report found small public companies are adding ETH to treasuries, attracted by its combination of brand recognition and staking yields. Reuters estimated ~966,000 ETH (≈$3.5B at the time) were held by companies as of early August—up sharply from late 2024—while acknowledging risks around volatility and regulation. That incremental demand can matter at the margin.
2) Macro and regulatory backdrop.
CoinDesk points to pro-crypto regulatory signals and ETF-driven liquidity as core drivers of ETH’s momentum this month, even as BTC hovers near record highs. With stocks and risk assets broadly firm, traders have more room to position for an ether catch-up trade.
3) The ETH/BTC ratio broke higher.
Technically, the rise in the ETH/BTC pair to ~0.036 marks a decisive break from this year’s lows (near 0.018 in April, by several TradingView-based analyses), fueling relative-value bets that ether can continue to close the performance gap with Bitcoin into year-end.
Context: Bitcoin still sets the ceiling
Even as ether outperforms on a relative basis, Bitcoin remains the market’s bellwether. BTC is probing the low-$120Ks after setting fresh highs in July, and miner profitability has improved since the April halving, according to JPMorgan commentary summarized by CoinDesk. If BTC falters, altcoin beta typically cuts both ways—helping on the way up and hurting on the way down.
What could keep ETH in the lead (and what could reverse it)
Bullish follow-through depends on:
- Sustained ETF demand: If Ether funds continue to attract multi-hundred-million daily inflows, that creates a structural bid—especially with in-kind creation making it easier for institutions to move size. (Crypto ETFs overall saw a record $12.8B in July, per CoinDesk.)
- Treasury adoption & staking clarity: More public companies experimenting with ETH treasuries—and clearer accounting/tax treatment of staking—would support the “digital asset working capital” narrative Reuters highlighted.
Risks to the trade:
- Macro data shocks: U.S. inflation/CPI surprises can sap risk appetite, pressuring both BTC and ETH (and narrowing the performance gap).
- Rotation back to BTC: Veteran traders often fade ETH strength on the view that outperformance is cyclical. If BTC breaks decisively to new highs while ETH stalls, the ETH/BTC ratio could slip. (Recent analyses have flagged the 0.036–0.04 zone as key resistance.)
Bottom line
For the first time this year, ether clearly has the upper hand over bitcoin on a relative basis: the ETH/BTC rate is at a 2025 peak, spot ETH ETFs just smashed a daily inflow record, and price reclaimed the $4,000 handle. Whether this becomes a lasting phase or another short-lived rotation will hinge on ETF flows, macro data, and how quickly corporate adoption builds from here.