Micelles are formed when soap is added to water. This is because the hydrocarbon chains of a soap molecule are hydrophobic and insoluble in water, but the ionic ends are hydrophilic and soluble in water. Micelles are an aggregate of soap molecules that arrange themselves in a spherical shape in the soap solution.

Micelles will not form in a solvent like ethanol, as the hydrocarbon chain of soap molecules is hydrophobic; hence, not be soluble in organic solvent like ethanol.