- Ethereum’s Futures volume nears parity with Bitcoin, driven by steady Open Interest and low leverage.
- ETF inflows show returning institutional confidence as stablecoin clarity and staking upgrades bolster Ethereum’s case.
Ethereum [ETH] is rapidly gaining ground in the derivatives market.
While Bitcoin [BTC] remains the dominant crypto asset, Ethereum’s rising Futures activity suggests that traders are increasingly betting on ETH’s next big move.
In fact, it is hinting at a potential shift in market focus or an early lead-up to a broader altcoin season.
A sentiment shift in motion
Once dismissed as a fading favorite, Ethereum regained trader confidence in a big way.
The ETH/BTC Futures Volume Ratio climbed from just 42% in October 2024 to an eye-catching 98% in June 2025, according to The Block’s data.
This surge is a remarkable reversal in market sentiment; Ethereum is no longer being sidelined in favor of Bitcoin.
Source: The Block
Ethereum is riding a wave of renewed optimism. From geopolitical shocks earlier this year to regulatory clarity through the GENIUS Act, ETH is bouncing back from its slump with surprising agility.
In fact, as MEXC Research puts it,
“Ethereum is staging a strong comeback from the recent bout of volatility triggered by the escalating tensions in the Middle East, as investor confidence renews…”
And the timing couldn’t be better.
The GENIUS Act, aimed at regulating stablecoins, has inadvertently strengthened Ethereum’s case. As the go-to layer for stablecoin settlement, ETH stands to benefit from this clearer policy framework.
On top of that, traders are pricing in the resurgence of DeFi, increased L2 activity, and renewed chatter around spot ETF approvals—all boosting ETH’s speculative appeal.
But are traders over-leveraging?
Interestingly, Ethereum’s recent rise hasn’t come with overheated leverage.
ETH’s Funding Rates remained relatively stable and steadily positive over the past week, indicating controlled leverage and a tempered buildup of long positions.
Source: Coinalyze
In contrast, Bitcoin’s Funding Rate showed more erratic swings, reflecting more aggressive and reactive speculative behavior.
Source: Coinalyze
Naturally, Open Interest data echoes this shift.
ETH Futures Open Interest grew from under $20 billion in April to over $35 billion by end-June, even as ETH price remained rangebound around $2.5K. That’s not noise; it’s quiet confidence.
Source: CoinGlass
Bitcoin’s Open Interest, while higher in absolute terms, has largely plateaued, a sign of a more static and mature derivatives market.
Source: CoinGlass
Together, these signals suggest that Ethereum’s push toward futures volume parity is a more durable shift than perceived.
Bitcoin dominates, Ethereum rebuilds
Of course, ETF flows paint a more conservative picture.
Since April, Bitcoin ETFs have seen consistent and sizable net inflows, crossing $100 million weekly on multiple occasions, with total net assets now exceeding $134 billion.
Source: SoSoValue
Ethereum, while showing signs of recovery, still lags far behind; weekly inflows only recently turned positive, and total net assets remain at $10.32 billion.
Yet, MEXC Research noted that over $1.1 billion flowed into Ethereum ETFs in June alone, indicating a sharp revival in institutional appetite.
With improving validator infrastructure, robust fee generation from apps like Uniswap and Tether, and a maturing staking ecosystem, Ethereum’s investment case is beginning to resonate once again with larger players.
Source: SoSoValue
Futures traders may already be positioned, but ETF flows show that traditional capital is beginning to follow.
