Ether Emerges as Market Favorite as Volatility, ETF Flows Outpace Bitcoin

Ethereum’s ETH token is gaining prominence among traders, buoyed by rising volatility expectations and surging institutional demand. Over the past day, ETH rose 8% to $2,728, outshining Bitcoin’s 1% increase, per CoinDesk data.

Derivatives activity reflects the growing momentum. The Volmex 30-day implied volatility spread between ETH and BTC has widened to 34%, the most significant divergence since the FTX collapse in November 2022. Traders now anticipate greater price fluctuations in ether than in bitcoin.

Options market sentiment aligns with that view. According to Amberdata, ETH call options on Deribit are trading at a 2%–3% premium over puts out to March 2027 — compared to 0.5%–1.5% for BTC — suggesting a stronger appetite for ether upside exposure.

On the spot side, Ethereum ETFs have pulled in $812 million over the last two weeks, the most since early 2025, according to FxPro’s Alex Kuptsikevich. Bitcoin ETFs, by contrast, have seen less than $400 million in inflows during the same window, based on SoSoValue data.

Macro and regulatory catalysts are reinforcing the trend, said Singapore-based trading firm QCP Capital. The GENIUS Act, revived Circle IPO talks, and progress on stablecoin frameworks are strengthening Ethereum’s long-term positioning as a key player in blockchain infrastructure and tokenized finance.

Supporting the bullish narrative:

• ETH 30-day call skew is at 6.24%
• Funding rates have risen to 0.009%
• The volatility term structure has inverted, according to Block Scholes, signaling short-term bullish pressure.

Taken together, the data shows growing institutional and trader preference for ether — not just as a complement to bitcoin, but as a lead asset in the evolving crypto landscape.