Ethereum Eyes 50% Breakout vs. Bitcoin As ETH Funds Attract $295.9M Inflows

Key Highlights

• Ethereum's ETH/BTC pair is forming a bullish pennant, targeting a 50% breakout toward 0.035 BTC.
• ETH led all digital assets with $296.4M in weekly inflows, totaling $1.5B over seven weeks.
• Bitcoin saw $56.5M in weekly outflows as policy uncertainty dampened investor sentiment.

Technical Analysis of ETH/BTC

Ethereum’s native token, Ether (ETH), is showing bullish signals against Bitcoin (BTC), supported by strong technical momentum and significant institutional inflows. The ETH/BTC daily chart indicates a well-defined bull pennant forming after a rebound from the 0.0175 BTC bottom in April. Currently, Ethereum is stabilizing above its 50-day EMA, with the pennant pattern tightening just below the 200-day EMA.

A breakout above the pennant’s resistance, currently near 0.0248 BTC, would confirm a bullish continuation setup. The next target is approximately 0.035 BTC, representing a potential 50% upside from current levels. The Relative Strength Index (RSI) remains neutral around 49, allowing for further price appreciation without entering overbought territory. Volume has decreased during the consolidation phase, which is typical behavior before a breakout.

Institutional Inflows Favoring Ethereum

According to CoinShares, digital asset investment products attracted $224 million in inflows over the past week, extending a seven-week streak to $11 billion. Ethereum has emerged as the top performer, bringing in $296.4 million in weekly inflows, marking its seventh consecutive week of gains.

Over this period, ETH has accumulated a total of $1.5 billion in inflows, which is about 10.5% of its total assets under management. This marks Ethereum’s strongest inflow streak since the 2024 US election, indicating a clear rebound in institutional sentiment. In contrast, Bitcoin has experienced outflows for the second consecutive week, losing $56.5 million, reflecting investor caution amid growing uncertainty regarding the US Federal Reserve’s monetary policy.

This shift in capital suggests that investors are rotating towards ETH in search of relative outperformance.