Story Highlights

  • In July 2025, Ethereum surged 70%: fueled by massive short squeezes and related purchases from BlackRock and Trump, ETH's market cap increased by $150 billion.

  • Retirement funds are focused on cryptocurrencies: the anticipated 401(k) executive order from Trump could unlock $9 trillion in funding for Bitcoin, Ethereum, and altcoins.

Since July 1, Ethereum has surged over 70%, adding $150 billion to its market cap. The momentum for this historic rise stems from a large-scale short squeeze, institutional buying from BlackRock and Trump’s financial group, and imminent U.S. regulatory reforms. With the arrival of the $9 trillion retirement market, Ethereum's upward momentum may just be beginning.

Why did Ethereum surge 70% in July 2025?

Ethereum is creating history in cryptocurrency with one of the largest short squeezes ever. Since July 1, ETH has risen over 70%, recovering from a period of extremely bearish market sentiment, and liquidating billions in short positions.

The catalyst for this rally was Ethereum's net short exposure hitting an all-time high, 25% higher than the peak in February 2025, triggering a wave of forced liquidations as ETH began to rise.

According to Kobeissi's letter, a further 10% increase in ETH price could lead to an additional $1 billion in short liquidations, further driving up the price.

Who is buying Ethereum? Trump and BlackRock lead the way.

The timing of major institutional purchases indicates that smart money acted first.

  • Just a day before the post by Kobeissi went viral, associated with President Trump.World Liberty Financial purchased $5 million worth of ETH.

  • BlackRock's Ethereum ETFThere have been 29 days of accumulation of ETH in the past 30 days, far ahead of retail investors.

These actions suggest that institutional investors may have anticipated the short squeeze before it fully unfolded.

What does this mean for Bitcoin and other altcoins?

As Ethereum captures the spotlight, Bitcoin quietly regained the $120,000 mark, with its market capitalization rebounding by nearly $900 billion since April. XRP also shows bullish momentum, reflecting a broader shift of capital towards altcoins.

Colin Talks Crypto stated, "During this cycle, Ethereum's price could reach $15,000 to $20,000."

$9 trillion retirement market, can it drive ETH prices further up?


The most explosive catalysts may still be ahead.


President Trump is expected to sign an executive order allowing $8.7 trillion in 401(k) retirement plans to invest in cryptocurrencies. If this order passes, the global cryptocurrency market's capital could potentially double.

This will mark the first time that regulated retirement funds can directly allocate to cryptocurrencies like Ethereum and Bitcoin.

What role does U.S. crypto law play in this rebound?

Ethereum's rebound is not just technical; it's also political and structural.

In July, the U.S. House of Representatives passed:

  • (Clarity Act)——Defines digital asset classifications

  • (Genius Act)——Regulates stablecoins

  • Anti-CBDC Act——Limits the Federal Reserve's power over digital currencies

Currently, with bipartisan support for these bills, the U.S. cryptocurrency market is entering a more mature and regulated phase, creating confidence for long-term institutional participation.

How high can Ethereum go by 2025?

Ethereum previously peaked at $4,800 in 2021. If Colin Talks Crypto's prediction of $15,000 to $20,000 holds true, the price of ETH could rise 3 to 4 times its previous all-time high.

With a bullish technical outlook, growing ETF demand, favorable regulation, and expectations of massive capital inflow, Ethereum may outpace Bitcoin in gains over the coming months.

Is this just the beginning for Ethereum?

Yes, Ethereum's breakout is not just a squeeze. It marks a larger shift in the evolution of cryptocurrency: from retail-driven speculation to institution-led growth, supported by regulation and substantial capital preparation.

As cryptocurrencies now enter discussions about retirement markets, the path to Ethereum reaching $15,000 is no longer like a moon landing; it may just be a matter of time.