Ethereum Charges Higher as Bitcoin Drifts Sideways Near $118,000

While Bitcoin hovers around the $118,000 mark with little directional conviction, Ethereum is surging toward the $3,700 level as renewed institutional demand drives momentum.

Altcoins are exhibiting heightened intraday volatility, yet capital is rotating decisively into Ethereum-linked vehicles: inflows into U.S. spot Ethereum ETFs have accelerated for a third consecutive week, and open interest in CME ETH futures has climbed to an all-time high.

Market participants attribute the divergence to optimism ahead of the Pectra network upgrade and growing consensus that forthcoming ETH ETF staking approvals could unlock billions in previously sidelined capital. In contrast, Bitcoin’s near-term narrative appears data-dependent, with traders awaiting Friday’s U.S. inflation release before committing to fresh long exposure.

For now, Ethereum’s relative strength is the defining theme across digital-asset markets.