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  • US Spot Ethereum ETFs See $33.6 Million in Net Inflows, Ending Negative Flow Streak

US Spot Ethereum ETFs See $33.6 Million in Net Inflows, Ending Negative Flow Streak

Overview of Ethereum ETFs Performance

August 09, 2024

The nine spot Ethereum ETFs in the U.S. saw net inflows of $33.67 million on Tuesday, marking a significant reversal after a four-day streak of negative flows. This influx indicates renewed investor confidence in Ethereum-based products.

Grayscale Ethereum Trust (ETHE)

Among the group, the Grayscale Ethereum Trust (ETHE) stood out for the wrong reasons. ETHE was the only spot ether ETF to log negative flows, with a substantial $120.28 million in net outflows, according to data from SosoValue. Since its debut on July 23, the ETF has consistently experienced outflows, highlighting a challenging start for the fund and its investors.

Leading Inflows

  • BlackRock’s ETHA: Dominated the inflow charts with an impressive $117.98 million in net inflows. This substantial amount underscores BlackRock's strong market position and investor trust in their Ethereum product.

  • Fidelity’s FETH: Secured $16.36 million in net inflows, reflecting robust investor interest.

  • Grayscale Ethereum Mini Trust: Benefited from $12.36 million in net inflows, showing a preference among investors for smaller, perhaps more agile investment vehicles.

  • Franklin’s EZET: Reported net inflows of $3.73 million, contributing to the overall positive trend.

  • Bitwise’s ETHW: Added $3.52 million in net inflows, further bolstering the Ethereum ETF market.

The remaining three spot ether ETFs saw no inflows or outflows, indicating a neutral stance from investors.

Trading Volume

The total daily trading volume for these spot ether products amounted to $563.22 million on Tuesday. Although this was a decrease from $773.01 million on Monday and $933.86 million on Friday, it still represents significant trading activity in the Ethereum ETF market.

Spot Bitcoin ETFs Experience Outflows

In contrast to the Ethereum ETFs, the 11 spot Bitcoin ETFs in the U.S. experienced net outflows of $18.3 million on Tuesday, breaking a four-day streak of positive flows. This shift highlights the volatility and changing investor sentiment in the cryptocurrency market.

Positive Inflows

  • BlackRock’s IBIT: Stood out as the only spot Bitcoin ETF to record net inflows, with $74.87 million flowing into the fund. This solitary positive performance emphasizes BlackRock's strong appeal among Bitcoin investors.

Largest Outflows

  • Grayscale’s GBTC: Recorded the largest outflows among the Bitcoin funds, with $73.6 million in net outflows. This significant withdrawal reflects a broader trend of investor caution.

  • Ark and 21Shares’ ARKB: Followed with net outflows of $7.88 million, indicating a considerable investor retreat.

  • VanEck HODL: Experienced $5.58 million in net outflows, adding to the overall negative sentiment.

  • Bitwise BITB: Saw $3.23 million in net outflows.

  • Fidelity FBTC: Recorded $2.88 million in net outflows, further contributing to the day's negative performance.

Trading Volume

The spot Bitcoin ETFs had a total daily trading volume of $1.37 billion on Tuesday, a noticeable decline from $2.68 billion on Monday and $2.04 billion on Friday. Despite the outflows, the trading volume indicates sustained interest and activity in Bitcoin ETFs.

The recent performance of spot Ethereum and Bitcoin ETFs underscores the dynamic and often volatile nature of the cryptocurrency market. Ethereum ETFs experienced significant inflows, ending a streak of negative flows, while Bitcoin ETFs faced notable outflows after a period of positive trends. These movements highlight the importance of closely monitoring market trends and investor sentiment in the ever-evolving crypto landscape.