Ethereum ETF Outflows Extend to 12 Days as Bitcoin Funds Recover
Spot Ethereum ETFs have experienced their longest streak of outflows, totaling $370 million over 12 trading days, amidst increased staking of ETH and declining asset prices. Notably, the iShares Ethereum Trust and Grayscale Ethereum Trust accounted for the largest withdrawals, totaling $146 million and $106 million, respectively. The price of Ethereum has dropped significantly, currently trading around $1,950 from $2,200 earlier in the month, amid investor concerns regarding its competitiveness against other blockchain platforms. Simultaneously, Bitcoin ETFs have regained $660 million amid recovery efforts. Robert Mitchnick from BlackRock indicated that the failure of Ethereum ETFs can be partly attributed to their prohibition on stakingāa critical aspect for generating investment returns. The amount of staked Ethereum has risen to 33.8 million ETH. Despite recent challenges, Ethereum funds recorded $2.45 billion in net inflows since their inception, but they trail far behind Bitcoin ETFs, which have amassed over $35 billion. Analysts suggest that the market is awaiting stronger catalysts for Ethereum as institutional appetite for Bitcoin grows.
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