Ethanol is less dense than water despite having a larger molecular weight due to the molecular structure and interactions of water. Water's polar nature creates a dipole moment, leading to stronger hydrogen bonding between water molecules. This strong attraction allows water molecules to pack more closely together, increasing density. In contrast, ethanol's molecular structure results in weaker intermolecular forces, allowing its molecules to be more spaced apart. Thus, the density of water is greater than that of ethanol.