Key Points
- Ethereum ETFs experienced a significant inflow of $84.6 million, the largest in over a month.
- Despite the increase, Ethereum ETFs still trail behind Bitcoin ETFs in terms of inflows.
Ethereum ETFs Gains Momentum
Ethereum ETFs recently witnessed their largest inflow in over a month, totaling $84.6 million. This is a significant increase, yet it doesn’t match up to the inflows of Bitcoin ETFs.
Data from SosoValue indicates that three out of five trading days last week were positive for Ethereum ETFs. This marked the highest weekly inflow since August 9. However, Ethereum ETF volumes still lag behind Bitcoin’s ETF performance.
Bitcoin ETFs Still Dominating
In the same week, Bitcoin ETFs recorded an impressive $1.11 billion in inflows. This was the largest weekly inflow for Bitcoin since July 19.
The Ethereum ETFs started trading in the U.S. on July 23, about six months after Bitcoin ETFs. In the subsequent five weeks, Ethereum ETFs saw net outflows of around $500 million, while Bitcoin ETFs recorded net inflows of over $5 billion.
Bitcoin’s first-mover advantage is a key reason for this disparity. The excitement generated by Bitcoin’s ETF launch led to significant inflows, while Ethereum’s ETF launch, though promising, has garnered less interest over time.
The value difference between the two assets also plays a part. Bitcoin holds over 50% of the crypto market cap, while Ethereum has about 14%.
Ethereum’s Market Position
In recent days, Ethereum’s price has dipped below the $2,600 level. Despite this, Ethereum remains above its 50-day moving average, indicating a short-term bullish trend. The Relative Strength Index (RSI) was around 53, further reinforcing this bullish outlook.
Despite Ethereum ETFs seeing a notable inflow after a slow period, they are still far behind Bitcoin ETFs in terms of volume and investor interest. Factors such as Bitcoin’s first-mover advantage and market dominance are key contributors to this trend. Despite recent price declines, Ethereum maintains a bullish position, staying above key technical indicators.