Spot Ethereum ETFs record longest outflow streak amid drying investments

Ethereum ETFs in the US face significant outflows, contrasting Bitcoin ETFs, which continue to attract investments.

The spot Ether (ETH) exchange-traded funds (ETFs) of the United States have cumulatively lost investments for five straight days, recording its longest outflow within one month since their launch on July 23.

Most of the investments made by the recently approved nine Ethereum ETFs have been overshadowed by the Grayscale Ethereum Trust (ETHE) outflows, which exceeded over $2.5 billion as of Aug. 21.

Investments from ETHE have been offloaded daily, except on Aug. 12, when the Grayscale fund reported no net change in numbers, according to Farside Investors data. 

As shown above, the ETH ETF ecosystem witnessed its longest streak of outflows, losing $92.2 million in five days from Aug. 15 to Aug. 21. 

Defending against Grayscale outflows

During this period, Grayscale ETHE alone reported $158.6 million of outflows. However, comparable inflows from BlackRock’s iShares Ethereum Trust ETF (ETHA), Fidelity Ethereum Fund (FETH) and Bitwise Ethereum ETF (ETHW) helped reduce the damage.

In contrast, the Grayscale ETH fund has not reported any outflows since its launch and maintains a positive cash flow of $231.9 million.

ETHA also became the first ETH ETF to bring in $1 billion in net inflows on Aug. 20. In total, the net ETH ETF investments currently stand at an outflow of (negative) $458.5 million.

Related: Spot Bitcoin ETFs attract investor interest despite August outflows

Check out Cointelegraph’s beginner guide to learn more about spot Ethereum exchange-traded funds.

Bitcoin ETFs attract investments

On the other hand, Bitcoin (BTC) ETF investments in the US, which were launched in January 2024, are a net positive of $17.5 billion. BTC ETFs maintain a positive balance sheet despite Grayscale Bitcoin Trust’s (GBTC) $19.6 billion outflows.

Moreover, the spot Bitcoin ETFs have maintained positive flows for eight out of the last 10 days. On Aug. 20, the BTC ETFs saw an aggregate inflow of $88 million, their highest for two weeks, according to Farside Investors data.

BlackRock’s iShares Bitcoin Trust (IBIT) led the pack with an inflow of $55.4 million, bringing the total net inflow for the product since its launch in January to $20.5 billion.

Magazine: Dorsey’s ‘marketplace of algorithms’ could fix social media… so why hasn’t it?