Ethereum ETFs Surpass $4 Billion Inflows Despite Geopolitical Concerns

U.S. spot Ethereum ETFs have reached a notable milestone, surpassing $4 billion in cumulative net inflows as of Monday. This achievement comes just one month shy of their first anniversary since their launch on July 23, 2024. The Ethereum ETFs have overcome more than $4 billion in net outflows from Grayscale’s converted ETHE fund to reach this milestone. On June 23, the Ethereum ETFs added a combined $100.7 million to reach the $4 billion mark, marking the strongest daily inflows in a week despite ongoing geopolitical concerns in the Middle East.

Fidelity's FETH led Monday's inflows, attracting $60.5 million, outshining BlackRock's usually dominant ETHA fund, which brought in $25.8 million. Grayscale's ETHE and ETH products added $9 million and $5.4 million, respectively, while other funds witnessed zero flows for the day. This consistent inflow demonstrates a growing appetite among investors for regulated access to Ethereum.

Similar to the U.S. spot Bitcoin ETFs, the Ethereum ETFs have experienced substantial net outflows of $4.3 billion from Grayscale's higher-fee ETHE fund since its conversion. This would have resulted in a cumulative net inflow total of $8.3 billion without this change. Following those outflows, Grayscale's ETHE market share by holdings has decreased from 89.7% at launch to 30.2%. Some of that market share has shifted into its mini ETH product. Meanwhile, BlackRock's ETHA has grown to lead the market with a 31.8% share as of June 23. Fidelity's FETH ranks third at 18%, and Grayscale's ETH follows in fourth place with 15.5%.

The ETF Store President commented on the milestone, stating, "Spot Ethereum ETFs just surpassed $4 billion in cumulative inflows since launch. *Includes* $4.3 billion outflows from ETHE unlock. Seems pretty successful to me."

In comparison, the U.S. spot Bitcoin ETFs had reached $34.7 billion in cumulative net inflows in their first 11 months after launch in January 2024 — a figure that currently stands at $47.3 billion. The Bitcoin ETFs attracted $350.8 million worth of net inflows on Monday, led by BlackRock's IBIT, extending their recent positive run to 10 days totaling $2.8 billion. However, on a market cap-weighted basis, with ETH's $290.3 billion representing around 13.8% of BTC's $2.1 trillion, the ETF inflow figures are more comparable.