In an interesting turn of events, BlackRock has become the only major ETF to have recently purchased Ethereum ($ETH ), according to data from Arkham Intelligence. The world's largest hedge fund now holds a substantial 336,058 ETH, equivalent to an impressive $763.95 million, according to the data.
This news comes at a challenging time for Ethereum ETFs, as the initial excitement surrounding these funds has been dampened by significant outflows. Since their debut in late July, spot Ethereum ETFs have seen nearly $480 million in outflows within their first 30 days of trading.
These numbers reflect a lack of investor interest in these investment vehicles, underscoring the difficulties facing the market.
Despite this, BlackRock was the only ETF that purchased Ethereum the day before, according to Arkham's official Twitter account.
On another note, Ethereum itself has not been performing well recently. Since the beginning of the year, Ethereum has lost 0.54% of its value, in sharp contrast to the substantial gains seen in Bitcoin and Solana, which posted returns of 28% and 25%, respectively. Currently, Ethereum is quoted at around $2,270, according to CoinMarketCap.
Market analysts point to several factors affecting ETF performance, including the unlocking of Grayscaleâs Ethereum Trust (ETHE), which has seen significant outflows.
Despite these challenges, there remains cautious optimism among some experts. Bloomberg Intelligence ETF analyst Eric Balchunas noted that while the unlocking of the trust had a considerable impact, it is expected to conclude, potentially improving the outlook for Ethereum ETFs in the future.
