Ethereum ETFs outflows are over as Grayscale exits cool off.
(Photo by Spencer Platt/Getty Images)
Share
Key Takeaways
Ethereum ETFs have seen over $2 billion in net inflows if you exclude Grayscale from the data.
BlackRock’s Ethereum ETF has surpassed $1 billion in cumulative net inflows.
JP Morgan says asset managers are eager to file for combined BTC/ETH ETFs.
U.S. spot Ethereum (ETH) exchange-traded funds (ETFs) have ended their outflow streak, or at least Grayscale’s outflows have eased off.
Ethereum ETFs
As per SoSoValue, Ethereum ETFs have posted net inflows of $5.84 million, ending their woeful nine-day outflow streak.
Ethereum ETF flows. Source: SoSoValue
To begin with, BlackRock’s iShares Ethereum Trust (ETHA) posted $8.4 million in net inflows following a 5-day neutrality streak that began just as its cumulative net inflows hit the $1 billion mark. This figure now sits at $1.01 billion and secures ETHA’s position as the reigning inflow champion.
Fidelity Ethereum Fund (FETH) saw its second-lowest day of inflows, netting a cool $1.26 million. With $392.9 million in cumulative net inflows, FETH is the second-best-performing ETH ETF on the market.
Fortunately for today’s overall results, the Grayscale Ethereum Trust (ETHE) has seen its lowest day of outflows since launch, losing just $3.81 million on day 12 of its outflow streak. The fund hasn’t seen a single day of net inflows and has cumulative outflows of $2.56 billion.
JP Morgan Analysis
As per a research report from JP Morgan, Ethereum ETFs have been underwhelming compared to Bitcoin ETFs, which was to be expected to some degree.
However, the bank notes that Grayscale’s performance has been the ETH ETF outlier, writing:
“We had estimated that this would be close to $1 billion since it was converted from a closed-end fund to a spot ETF, but we were wrong.”
The bank had not anticipated $2.5 billion in outflows, which naturally affected the broader market.
They also note that the Grayscale mini ETH ETF, designed to cover the outflows from ETHE, has failed to do so. So far, it’s only managed to draw $235.76 million, which JP Morgan says “fell short of expectations.”
According to JP Morgan analyst lead Nikolaos Panigirtzoglou, the weaker demand for ETH ETF products is resulting in a growing interest amongst asset managers in filing for combined BTC/ETH ETF products.
Ethereum (ETH) Price
The ETH token is trading at $2,545, up around 3.5% for the past 24 hours. However, it is down some 25% for the month overall. With ETH’s market cap back above $300 billion, there could be room for further price increases.
It’s been a difficult time for the crypto markets, but it remains yet to be seen as August and September are, historically, two of the worst-performing months for Bitcoin and Ethereum markets, with October and November being some of the best.
Eddie is a gaming and crypto writer at CCN. Covering the often weird and wonderful world of Web3 with an adoring, but skeptical eye.
Prior to CCN, Eddie has spent the past seven years working his way through the crypto, finance, and technology industry. He began with PR and journalism with Bitcoin PR Buzz and BitcoinNews.com, eventually working his way to become a copywriter with a dozen firms, including the likes of Polkadot before returning to journalism in 2023.
Having studied Radio production and journalism at University in the UK, Eddie spent a few years making podcasts and presenting on a local London radio station as he built up his writing chops.
A lifelong skateboarder, Eddie can often be found at the skatepark or touring the streets looking for something new to try. That, or kicking back playing JRPGs on his original PSP.
