On Wednesday, spot Ethereum ETFs in the US witnessed net inflows of over $240.3 million, outperforming the $164.5 million net inflows of spot Bitcoin ETFs. This marks the 18th consecutive day of positive flows for spot Ethereum ETFs.
According to data from Sosova lue, BlackRock’s iShares Ethereum Trust (ETHA) led the inflows on Wednesday with $163.6 million, followed by Fidelity’s FBTC with $37.28 million. Grayscale’s Mini Ethereum Trust and ETHE fund, as well as Bitwise’s BITW, also recorded net inflows.
Analysts attribute the inflows into Ethereum ETFs to several factors. On one hand, positive regulatory discussions around DeFi and stablecoins have boosted investor confidence. Securities and Exchange Commission Chairman Paul Atkins recently expressed support for DeFi, saying that the right to self – custody of one’s private property is a “foundational American value” that should also exist digitally. On the other hand, there is a spillover effect from Bitcoin. With Bitcoin hitting record highs and altcoins rallying to all – time peaks last year, investors increasingly view Ethereum as undervalued.
In addition, the Pectra upgrade of the Ethereum network, introduced earlier this year, has addressed scalability and cost – efficiency issues that previously posed challenges for developers, further enhancing the positive momentum.
The price of Ether rose above $2,800 earlier on Wednesday, reaching its highest point since February. It is down 0.34% in the past 24 hours to trade at $2,769. Ethereum also saw over $106 billion in derivatives trading volume, surpassing Bitcoin’s $80.5 billion, according to Coinglass data, signifying increased investor engagement.
This significant inflow into Ethereum ETFs indicates a growing investor preference for Ethereum – related assets. It also reflects the changing landscape of the cryptocurrency market, where Ethereum is emerging as a strong contender alongside Bitcoin.
Related topic:
