A recent shift in capital flow data reveals a notable divergence between Bitcoin and Ethereum, with the latter experiencing substantial institutional investment while Bitcoin sees a pullback. This dynamic highlights shifting risk appetites among major investors. In August 2025, Bitcoin’s price dropped to approximately $123,000, while Ethereum gained momentum. The rise is attributed to increased institutional interest in Ethereum ETFs and favorable regulatory sentiment. Notably, BlackRock iShares reported over 55,000 ETH inflows, indicating substantial investment from institutions. Meanwhile, Bitcoin experienced net outflows from exchange-traded funds (ETFs), worth $233.57 million, potentially driven by coordinated whale activity. 1 On-chain analysis indicates a surge in retail selling for Bitcoin, while Ethereum’s network and Layer 2 developments show robust growth. These trends suggest evolving strategic allocations among investors, with institutional capital shifting towards Ethereum amidst the broader macro trend.