US spot Ethereum ETFs have passed the critical threshold of $4 billion in cumulative net inflows a month before their anniversary. This success was achieved despite the $4.3 billion outflow from the Grayscale ETHE fund. The BlackRock ETHA fund took over the leadership with a 31.8 percent market share. Fidelity FETH led the way with $60.5 million in daily inflows. Ethereum is trading at $2,403.
Ethereum ETFs have continued to perform remarkably since their launch on July 23, 2024. The investment vehicles initially faced a tough period with large outflows from Grayscale’s converted ETHE product. However, investor interest has rapidly increased thanks to the aggressive marketing strategies and low fee structures of major players like BlackRock and Fidelity.
US Ethereum Funds Reach $4 Billion Net Inflow in 11 Months
U.S. spot Ethereum ETFs hit the $4 billion milestone on Monday, recording net inflows of $100.7 million, the strongest daily inflow in a week despite concerns about geopolitical tensions in the Middle East.
Fidelity’s FETH fund led the way in inflows on Monday, drawing $60.5 million. That performance overshadowed the usually dominant BlackRock’s ETHA fund, which saw net inflows of $25.8 million.
Grayscale’s ETHE and ETH products raised $9 million and $5.4 million respectively, while other funds saw no activity on the day, showing how quickly market dynamics can change.
BlackRock’s ETHA fund has been steadily expanding its market share, reaching a leading position of 31.8 percent as of June 23. This achievement comes after Grayscale reduced its dominance of the ETHE fund from 89.7 percent at its launch to 30.2 percent.
Cumulative volume stood at $89 billion, while daily volume remained above average at $840 million on Monday, but still below the daily peak of $1.5 billion in early February.
Compared to Bitcoin ETFs, Ethereum funds have seen net inflows of $4 billion in the first 11 months, lagging behind Bitcoin ETFs’ $34.7 billion in the same period. However, in a market cap-proportional assessment, ETF inflows appear more balanced, considering that ETH’s $290.3 billion represents 13.8 percent of BTC’s $2.1 trillion capacity.
