Ethereum Breaks $3,400, Bitcoin Rebounds from Dip

1. Ethereum sees its strongest rally since early 2025

Ethereum (ETH) is leading the crypto market recovery, surging over 10% in the past 24 hours and officially breaking through the $3,400 mark – its highest level since January. With this momentum, ETH has gained 22% over the past seven days and has now turned positive for 2025 after a long period of underperformance.

This impressive recovery came just days after a mild correction earlier in the week, indicating strong buying pressure from both institutional players and retail investors returning to Ethereum.

2. ETF inflows and treasury firms are the key driving forces

According to data from CoinDesk and analysts like David Shuttleworth (Anagram), capital inflows from U.S.-listed Ethereum ETFs are the biggest drivers behind ETH’s recent price surge. Specifically, U.S. spot ETH ETFs saw more than $900 million in inflows last week – accounting for 29% of all crypto ETF inflows in 2025.

Remarkably, in just the first two days of this week, Ethereum ETFs have already attracted an additional $450 million and could surpass $1 billion if this trend continues.

At the same time, crypto-focused treasury firms are aggressively accumulating ETH. Sharplink Gaming (SBET) announced it had purchased over 74,000 ETH, with $257 million in capital remaining for further accumulation. Meanwhile, Bitmine Immersion (BMNR) has already deployed more than $500 million into ETH – a clear sign of growing institutional confidence in Ethereum’s medium- and long-term prospects.

3. Bitcoin isn’t far behind: Investors rush to “buy the dip”

While Ethereum has taken the spotlight with its strong rally, Bitcoin (BTC) is also showing signs of strength. After a sharp drop to the $116,000 range earlier this week, investors responded quickly. According to Glassnode, approximately 196,600 BTC – equivalent to $23 billion – were purchased in the $116,000 to $118,000 price range.

This behavior reflects optimism and decisiveness from the market, suggesting that investors view this correction not as a negative signal, but as an opportunity to accumulate BTC at attractive levels.

4. Conclusion: Is Ethereum making a stronger comeback than Bitcoin?

With macro drivers like ETF capital inflows, aggressive buying from financial firms, and rising institutional confidence, Ethereum is regaining its leadership position in the market. This move appears to be more than just a short-term spike – it could signal the start of a sustainable growth cycle for ETH, especially as ETFs become increasingly popular among traditional investors.

Meanwhile, Bitcoin remains a stronghold but may be temporarily outpaced by ETH. The fact that both top crypto assets are attracting massive capital inflows is a clear indication that the crypto market is entering an exciting new phase in the second half of 2025.