Bitcoin is back in favor—at least on Binance. The crypto exchange’s July Proof of Reserves report reveals that users increased their Bitcoin (BTC) holdings by nearly 3%, reaching over 591,000 BTC. Meanwhile, Ethereum (ETH) balances on the platform dropped sharply—falling nearly 10% in July alone.
But fewer ETH on Binance doesn’t necessarily mean waning interest. In fact, the opposite may be true.
What's Behind the ETH Exodus?
The decline in Ethereum holdings is likely a reflection of users moving their ETH off-exchange—possibly to stake it or store it securely in cold wallets. According to market analyst Cas Abbé, rising BTC and stablecoin (USDT) reserves hint at dip-buying behavior, while falling ETH supply points to a shift toward long-term holding.
Institutions Double Down on ETH
While retail investors shuffled their crypto holdings, institutional players made bold moves. Between June and July, Ethereum treasury holdings more than doubled—from around 916,000 to over 2.3 million ETH, according to Strategic ETH Reserve data. That’s roughly 1% of all ETH in circulation accumulated in just two months—outpacing corporate Bitcoin acquisitions during the same period.
Big names like BitMine Immersion Technologies and SharpLink Gaming reportedly led this wave of Ethereum accumulation, signaling deeper confidence in ETH’s long-term value.
ETH's Macro Momentum
Ethereum continues to draw bullish sentiment. Tom Lee, co-founder of Fundstrat and chairman at BitMine, called ETH “the biggest macro trade for the next decade.” He even floated the possibility of Ethereum overtaking Bitcoin in network value—a phenomenon known as the “flippening.”
Ethereum outperformed everything this decade, even Bitcoin and the NASDAQ.$ETH is on another level. pic.twitter.com/b2pvsHY6Be
— Ak47♛ (@HolaItsAk47) August 6, 2025
According to Lee, Ethereum’s role in powering Web3 and its potential alignment with trends in AI and digital infrastructure make it uniquely positioned for long-term growth.
Takeaway: While retail users appear to favor Bitcoin for now, the smart money seems to be stacking Ethereum. The trend reflects diverging strategies: BTC as a short-term trade; ETH as a long-term bet on the future of blockchain.
