Ether ETFs Experience $440.1 million Net Outflows
YEREVAN (CoinChapter.com) — In the opening week of Ether (ETH) exchange-traded funds (ETFs), the market recorded a total of $440.1 million in net outflows. A significant $1.7235 billion exited the Grayscale Ethereum Trust (ETHE), overshadowing the inflows into newly listed products. This substantial outflow from ETHE marked a challenging start for Ether ETFs in capturing investor interest.
Ethereum ETF Flow Breakdown. Source: Farside Investors Contrasting Inflows: Bitcoin ETFs Surge as Ether ETFs Face Challenges
Earlier in January, Bitcoin (BTC) ETFs attracted $1 billion in net inflows within four days, even with outflows from the Grayscale Bitcoin Trust (GBTC). This difference highlights the contrasting market responses between Bitcoin and Ether ETFs during their initial periods.
Despite the overall outflow, new Ether ETF products attracted $1.15 billion in inflows,BlackRock, Bitwise, and Fidelity led these offerings, indicating a strong interest in Ether exposure through ETFs, even as the market adjusted to these new options.
The market reacted to these developments, with Ether’s price dropping by 5% last week. Meanwhile, Bitcoin’s price rose by 2%, showcasing the different dynamics affecting each asset.
ETH and BTC ETF Outflows: Insights from Experts
Quinn Thompson, founder of digital asset hedge fund Lekker Capital, noted that the outflows from ETHE mirror those from GBTC when Bitcoin hit a local bottom in late January. He stated,
“ETHE has already shed the same amount of assets as GBTC did during the post-ETF sell-off.”
Quinn Thompson’s Insights on ETH ETF Outflows. Source: @qthomp
Mads Eberhardt, senior crypto analyst at Steno Research, observed that GBTC outflows significantly decreased after the eleventh trading session.
Grayscale ETF Outflows Analysis by Mads Eberhardt․ Source: @MadsEberhardt
In a Monday X post, he said,
“The Ethereum ETF net outflow is yet to subside, but it is likely that it will happen this week.”
Ethereum ETF Outflow Trends by Mads Eberhardt․ Source: @MadsEberhardt Ethereum Price Dips to $3,341.48 Amid Increased Trading Volume
At the time of writing, Ethereum (ETH) is trading at $3,341.48, reflecting a 0.91% decline over the last day. The market capitalization stands at approximately $401.74 billion, making it the second-largest cryptocurrency by market cap. The 24-hour trading volume is $17.10 billion, marking a significant increase of 47.13%. The volume-to-market cap ratio is 4.25%.
The circulating supply of ETH is 120,228,315 coins, matching the total supply, as Ethereum has no maximum supply limit. The fully diluted market cap is estimated at $402.14 billion. The chart indicates a recent drop from a high of around $3,371, showing some volatility within the trading day.
Ethereum Price and Market Data Snapshot. Source: CoinMarketCap
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