Originally published on: August 22, 2024
Spot Ethereum exchange-traded funds (ETFs) in the United States are experiencing their longest period of continuous outflows since their launch on July 23. Over the past five days, these ETFs have seen a significant decrease in investments, with the majority of outflows coming from the Grayscale Ethereum Trust (ETHE), surpassing $2.5 billion as of Aug. 21.
According to data from Farside Investors, the outflows from ETHE have been consistent on a daily basis, with the exception of Aug. 12. This trend has resulted in a total of $92.2 million in outflows for spot Ethereum ETFs over the past five days.
Despite the challenges faced by spot Ethereum ETFs, inflows from BlackRock’s iShares Ethereum Trust ETF (ETHA), the Fidelity Ethereum Fund (FETH), and Bitwise Ethereum ETF (ETHW) have helped offset some of the losses. The Grayscale Ethereum Mini Trust (ETH) has maintained positive flows since its launch, with net inflows totaling $231.9 million.
ETHA achieved a milestone on Aug. 20 by becoming the first spot Ethereum ETF to attract $1 billion in net inflows. However, overall net flows from spot Ethereum ETFs currently stand at negative $458.5 million.
In comparison, spot Bitcoin ETFs in the US have seen net positive flows of $17.5 billion since their launch in January 2024. Despite outflows from the Grayscale Bitcoin Trust, these ETFs have maintained overall positive flows, with eight out of the last 10 days seeing inflows.
On Aug. 20, spot Bitcoin ETFs received aggregate inflows of $88 million, with BlackRock’s iShares Bitcoin Trust leading the way with $55.4 million in inflows. Since its launch, this product has attracted a total net inflow of $20.5 billion.
As the cryptocurrency market continues to evolve, it is important for investors to stay informed about the latest developments in ETFs such as Ethereum and Bitcoin. By understanding these trends, investors can make more informed decisions about their investment strategies.
For more insights into the world of spot Ethereum ETFs and other investment opportunities, consider subscribing to the Markets Outlook newsletter. Stay updated on critical insights to identify opportunities, manage risks, and refine your trading strategies. Subscribe today to gain a competitive edge in the market.