Ethereum ETFs have recently witnessed a groundbreaking event as financial giant BlackRock spearheaded a massive $1 billion inflow, marking a new pinnacle in the cryptocurrency investment landscape. This surge highlights the growing institutional interest in Ethereum-based financial products.
Unprecedented Inflow in Ethereum ETFs
This week, the nine U.S.-listed spot Ethereum ETFs collectively garnered an unprecedented inflow of $1.02 billion. This achievement marks the highest single-day inflow since these ETFs were launched in mid-2024. Notably, institutional investors purchased approximately 240,000 ETH in this period.
The record-setting day extended an ongoing inflow streak, now lasting five consecutive trading days, bringing the total to a remarkable $1.8 billion. To date, Ethereum ETFs have amassed over $10.8 billion, with the majority of this influx occurring in the last month.
BlackRock’s Significant Contribution
Leading the charge, BlackRock’s ETHA fund achieved a monumental inflow of $640 million, acquiring more than 150,000 ETH. As per CoinGlass, this fund has now surpassed the $10 billion mark in total inflows, predominantly within the recent month.
Fidelity’s FETH fund also recorded a noteworthy $277 million inflow, accumulating over 65,000 ETH. Additionally, Grayscale’s mini Ethereum trust experienced a $66 million inflow that day.
The Market’s Growing Understanding of Ethereum
Industry expert Nate Geraci noted that traditional financial investors had underestimated spot Ethereum ETFs due to a lack of understanding of Ethereum’s potential. While Bitcoin has been viewed as ‘digital gold,’ Ethereum’s role as the backbone of future financial markets is now resonating with investors.
On the same day, Bitmine, an Ethereum treasury firm led by Tom Lee, announced a major achievement of accumulating 1 million ETH. This news coincided with a surge in Ethereum’s price, reaching a near four-year high of $4,350.
Comparative Performance of Bitcoin ETFs
In contrast, Bitcoin spot ETFs experienced a relatively modest inflow of $178 million on that day. BlackRock’s IBIT fund was responsible for the majority of this, with $138 million. Despite a four-day inflow streak totaling $950 million, Bitcoin funds have not matched the enthusiasm seen with Ethereum ETFs.
As Bitcoin’s value fluctuates, currently retreating to $118,600, today’s market could potentially see an outflow day for Bitcoin ETFs, underscoring the shifting dynamics in cryptocurrency investments.
