New York, Friday, August 23, 2024- Spot Ethereum ETFs experienced a notable upturn early this week, drawing in $4.9 million in new inflows, reports indicated.
Analysts said they saw this as a significant turnaround from a three-day period of negative flows, signaling a shift in investor sentiment.
The increase highlights a renewed confidence in Ethereum amid its rising prominence in the cryptocurrency market.
Data from SosoValue shows that the influx has reignited interest in Ethereum-based ETFs, reflecting a strategic adjustment by investors to current market trends.
The growth in assets under management for these funds underscores a strong preference for Ethereum. Additionally, the Grayscale Ethereum Trust (ETHE) ended a 14-day streak of outflows, pointing to a stabilizing trend and renewed investor optimism.
Despite the overall positive trend, not all spot Ethereum ETFs are performing well. VanEck’s ETHV faces challenges with $2.92 million in outflows, the first decline since July 23, raising concerns about its near-term outlook.
Fidelity’s FETH stands out as a market leader with $3.98 million in net inflows, reflecting robust investor confidence.
Similarly, Bitwise’s ETHW and Franklin’s EZET have attracted significant investments, with inflows of $2.86 million and $1.01 million, respectively. These figures indicate that while some funds face difficulties, others are capitalizing on the current market environment.
The impact of these movements extends to the broader cryptocurrency market. Ark and 21Shares’ ARKB fund saw the largest net inflows at $35.4 million, followed by BlackRock’s IBIT with $13.45 million. The surge has driven trading volumes for spot Ethereum ETFs to $286 million on Monday, up from $166.9 million just days earlier.
The capital influx also suggests a potential long-term trend, with Ethereum’s price rising 4.51% to $2,657, they said.
