Record-Breaking Inflows of $107M Pour into Ethereum ETFs on Debut Day

On the launch day, the Ethereum Exchange-Traded Funds (ETFs) experienced significant trading volume, with a net inflow of $107 million. BlackRock emerged as the leader in this space, while the Grayscale Ethereum Trust (ETHE) faced challenges. ETHE appears to be following a similar pattern to GBTC after the Bitcoin ETF launch in January.

BlackRock’s Ethereum ETF (ETHA) attracted $265 million in total inflows on its debut, establishing itself as the market leader among its peers. Bitwise Asset Management’s Bitwise Ether ETF (ETHW) also gained attention, with over $200 million in inflows. Fidelity’s Fidelity Ether ETF (FETH) saw over $70 million in total inflows, while other players like Invesco, 21Shares, VanEck, and Franklin observed inflows ranging from $5 to $15 million.

However, the Grayscale Ethereum Trust (ETHE) experienced significant outflows of $484 million, amounting to 5% of the fund’s total $10 billion in assets under management. Notably, a day before the launch, the asset manager had transferred $1 billion to the Grayscale Ethereum mini-Trust to provide seed capital.

DAY ONE in the books for Eth ETFs who did $1b in total volume, which is 23% of what the spot bitcoin ETFs on their first Day and $ETHA did 25% of $IBIT's volume. The gap between $ETHE and The Newborn Eight is a healthy +$625m (a sizable chunk of which *should* convert to inflow pic.twitter.com/jaP4dKLrOs
— Eric Balchunas (@EricBalchunas) July 23, 2024

The trading volumes of Ether ETFs surpassed $1 billion on their first day, accounting for 23% of the volume generated by spot Bitcoin ETFs on their debut. Ether ETFs achieved this significant milestone despite the spot Bitcoin ETFs registering nearly $5 billion in trading volumes on their launch day. The Ethereum price remained relatively stable, trading around $3,450, as investors adopted a cautious approach to market inflows.

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Kayode Oke Michael

Kayode Michael is a seasoned cryptocurrency analyst, successful trader, and skilled writer with a strong command of cryptocurrency analysis and price action. He leverages his technical analysis skills to provide valuable insights into emerging market trends and potential opportunities for investors to make informed decisions.

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