Summary
- A CryptoQuant analyst reported that Ethereum's recent rally is driven by new capital inflows.
- It was emphasized that this is not a rotation of funds that previously flowed into Bitcoin within the market.
- It was stated that Bitcoin is also in a capital accumulation phase and there is no sign of an outflow of funds.
A recent analysis suggests that the latest surge in Ethereum (ETH) is a rally fueled by new capital inflows, rather than a rotation of existing market funds.
On the 30th (local time), Oro, a crypto analyst from the on-chain analytics platform CryptoQuant, stated, "The recent Ethereum rally is not due to funds rotating from Bitcoin (BTC). We are currently observing fresh capital inflows into Ethereum."
Oro emphasized that, based on multiple indicators, there is no evidence that capital previously flowing into Bitcoin (BTC) is decreasing. He said, "As of the 25th, Bitcoin's realized capitalization stands at $1.018 trillion, marking an all-time high. This proves that claims of funds previously driving Bitcoin now rotating into Ethereum are incorrect. Bitcoin's current sideways movement, as seen in past cycles, can be interpreted as a capital accumulation phase."
YM Lee
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