GM to all of you nutcases. It’s Crypto Nutshell #935 bringin‘ the news… 🥜

We're the crypto newsletter that's more proof-hungry than a workshop crew strapping rockets to the rumour before calling it confirmed… 🚀🧪

What we’ve cooked up for you today…

What’s in the Crypto Nutshell Portfolio?

BREAKING: Ether outruns bitcoin as ETF money returns, almost all from BlackRock's fund

Bitcoin's been stuck around the same price range for the last few weeks.

Ether hasn't.

Ethereum is up close to 20% over the past month, against Bitcoin's 7%.

The ratio between the two, Ether priced in Bitcoin, just hit a three-month high.

When Ether starts outrunning Bitcoin like this, traders read it as risk appetite broadening out from the safer major into the riskier one.

That usually reads as confidence returning to the market.

So what’s causing Ether to outperform Bitcoin?

Well there’s three things…

1) ETF money is splitting.

Ether's spot funds keep drawing inflows, almost all of it into BlackRock's low-fee product, while Bitcoin's version bled $465 million over the back half of last week, most of it out of BlackRock's own fund. (More on this later)

2) The treasury buyers keep buying.

Bitmine, the Tom Lee vehicle, added nearly 10,000 Ether last week and now sits on 5.79 million of them, worth about $11.2 billion, roughly 4.8% of every Ether in existence and climbing toward a stated 5%.

3) And there's real usage underneath it.

Robinhood's new layer-2 chain (a faster network that settles back to Ethereum) launched July 1 and already clears more than $800 million a day, mostly memecoin trading, all of it burning Ether for gas.

Lee himself calls the rising ratio "a sign crypto prices are strengthening," even with the CLARITY Act's odds of passing this year fading.

Despite all of this…

Ether still sits around 62% below its record, deeper underwater than Bitcoin.

It slipped more than 3% on the day too, so the ten-week high it printed earlier has already given a little back.

Ether first pulled ahead on these same BlackRock flows back around the 16th, and two weeks on the gap has only widened.

The real test is the Fed.

The rates decision lands tomorrow, and a hawkish surprise would hit the high-beta major first.

CEOs, politicians, regulators, and analysts talk for hours on podcasts every day.

Radar actively transcribes 115,000+ podcasts and turns them into structured data, searchable within minutes of airing.

Track a company or person by name, with each mention cited to the exact quote, speaker, and timestamp, or search for commentary on a thesis or sector with semantic search.

Radar is built by former Twitter and Tesla engineers, using an AI-native transcription pipeline that delivers high accuracy and extensive data enrichment.

Try Radar for free today

Raoul Pal just posted the cleanest explanation of why Bitcoin feels dead right now. And why that feeling is a misreading.

Pal is a former Goldman Sachs macro trader and founder of Real Vision.

Here's what he posted:

Start with the numbers. Bitcoin is 87% correlated to global liquidity. The Nasdaq is 97% correlated.

"These assets are not really trading on earnings, or news, or whatever the story of the week is. They're tracking the amount of money in the system."
Raoul Pal

Every narrative you've read this year — Strategy selling, the CLARITY Act, miners, the ETFs - is texture on top of one variable. How much money exists.

Bitcoin just swings harder around that line, because on top of liquidity it's young, volatile, emotional, and still climbing an adoption curve. Sometimes it runs hot. Right now it's running cold, so people assume something has broken.

Then comes the part worth sitting with. If these assets track liquidity that closely, can you forecast liquidity?

His Everything Code framework says yes. Liquidity is driven by currency debasement, and debasement can be modelled years ahead, because the interest payments driving it are already known today and they lead liquidity by roughly three years.

The tide isn't gone. It's on a schedule.

Nothing is broken. 🌊

Back to the ETF flow data, our weekly read on institutional appetite.

Green means money flowing in, red means it's heading out.

The green run survived the week, barely.

Bitcoin ETFs netted $34 million across the five sessions, down from $500 million last week.

Monday to Wednesday brought in $499 million, then Thursday and Friday handed $465 million straight back.

BlackRock's IBIT was behind most of it in both directions, green for the first three days, then $202 million and $212 million out the door on Thursday and Friday.

That leaves IBIT $96 million in the red for the week, after being green every single session last week.

Ethereum held up far better, taking in $104 million against $121 million last week, and green on four of five days.

Ethereum's funds hold about a fifth of what Bitcoin's do, and this week they took in three times the money.

Lifetime the funds hold $51.83 billion in Bitcoin and $11.18 billion in Ethereum, so one wobbly week doesn't undo much.

Three green weeks in a row still stands, but Bitcoin's version is now a rounding error and the appetite has shifted to ether. 📊

Fanatics Buys CFTC-Registered Exchange in Prediction Markets Land Grab. The deal gives Fanatics its own infrastructure for listing and settling event contracts.

Lido begins moving $16.5 billion in staked ether to cut validator count by a third. Lido is consolidating roughly 8 million ETH and requiring professional node operators to post bonds.

Cross River to enable P2P payments, banking services for X Money. Cross River will power X Money’s payments, FDIC-insured accounts and Visa debit cards.

Ethereum, Solana and Avalanche get busier and cheaper even as token prices fall: Bitwise. Activity increased and fees fell even as network revenues weakened and token prices remained sharply lower.

Want to get even smarter? Check these out.

p.s. all completely FREE (one click subscribe link)

Select your answer below and you’ll be redirected to the results page. (answer explanation can be found after “Meme Corner”)

Because what would the crypto world be without its share of memes?

Trivia Answer: To prove the holder authorised the transaction without revealing the private key🥳

A wallet uses the private key to create a signature that the network can verify with the corresponding public key. The private key itself stays secret.

Advertise with Crypto Nutshell to get your product or brand in front of the crème de la crème of crypto investors. Crypto Nutshell readers are high-income earners who are always looking for unique or interesting offers.

Get in touch today.😎

We read every comment submitted in this poll and love to hear what you guys have to say. 😁 (bonus points for suggestions 🍪)

DISCLAIMER: The content of this newsletter is not financial advice. This newsletter is strictly educational and is not investment advice. Please be careful and do your own research.