Ethereum is witnessing a noteworthy upward trend as it records its first cumulative net inflows since the introduction of exchange-traded funds (ETFs) in July. This shift follows five consecutive days of net inflows, signaling a positive market response.
What Contributed to Recent Inflows?
On both Tuesday and Monday, spot ETH ETFs achieved record daily net inflows, amounting to $135.9 million and $295.5 million, respectively. This significant activity has led to overall net inflows of $94.6 million, as reported by SoSoValue.
The recent surge in ETH inflows comes on the heels of Bitwise’s announcement regarding its acquisition of Ethereum staking firm Attestant. This strategic move indicates the firm’s intent to introduce a new ETH ETF incorporating staking rewards, a factor that could attract institutional interest, especially with the potential for a more lenient regulatory environment under a pro-crypto administration.
How is Grayscale Performing?
In contrast, Grayscale’s ETHE has experienced significant outflows, totaling -$686.7 million, highlighting a stark difference from the inflows seen in spot Bitcoin ETFs since the start of the year.
- Ethereum’s price has risen by 2.4% in the last 24 hours.
- Over the past week, ETH has grown by 25.2%, currently valued at $3,270.
- Market cap for Ethereum stands at approximately $400 billion.
- Investor optimism is bolstered by the recent U.S. elections, indicating a shift toward pro-crypto policies.
The recent developments in Ethereum ETFs underscore how market dynamics can influence investor decisions. Rising institutional interest and favorable regulatory changes are likely to play a crucial role in shaping Ethereum’s market trajectory.
Disclaimer: The information contained in this article does not constitute investment advice. Investors should be aware that cryptocurrencies carry high volatility and therefore risk, and should conduct their own research.
