Ethereum News Today: Ethereum ETFs See Record $726 Million Inflows as Institutional Demand Surges

Ethereum ETFs have experienced a significant surge in inflows, with a record-breaking $726 million in net inflows recorded on a single day. This influx of capital has been driven by a combination of factors, including increased institutional demand as Ethereum approached its highest price levels since January. The previous record of $428 million, set in December 2024, was surpassed as Ether’s market performance drew increased institutional demand.

BlackRock’s Ethereum ETF (ETHA) led all funds with $499 million in inflows. Fidelity’s FETH followed with $113 million. Combined, the total assets held in US spot Ether ETFs now exceed 5 million ETH, accounting for over 4% of Ethereum’s circulating supply. Since their July 2024 launch, these funds have attracted $6.48 billion in net inflows.

On-chain data reveals sustained whale activity. Wallet “0x52e” acquired 4,707 ETH for $15.79 million. Another large holder, “0x310,” added 4,413 ETH worth $15 million. A third wallet, “0x8af,” purchased 2,393 ETH for $8 million. All three purchases occurred above the $3,340 level, indicating growing confidence in Ethereum’s long-term outlook.

Large withdrawals from exchanges further highlight investor sentiment. Whale “0x35fb” removed 7,980 ETH, valued at $26.86 million, from Kraken. This added to a total of 88,292 ETH withdrawn over the past week, signaling a trend toward holding rather than selling.

Corporate interest in Ethereum has also increased. SharpLink Gaming added 10,854 ETH, worth $34.37 million, to its treasury holdings after acquiring 10,614 ETH the previous day. The company now holds over 307,000 ETH. In total, treasury-based ETH holdings have risen by approximately 600,000 ETH, valued at more than $2 billion, over the past month.

Ethereum is trading just below $3,400, marking an 8.85% increase in 24 hours. The 20-day and 50-day Exponential Moving Averages, now at $2,866 and $2,647, respectively, serve as support zones for the asset’s price momentum. Market analysts note that declining Bitcoin dominance is contributing to the strengthening altcoin market.

This surge in institutional interest has been mirrored by other major players in the market. The demand for Ethereum ETFs has been robust, with ETFs currently managing 5 million ETH, representing 4.02% of Ethereum’s market capitalization. Ethereum-focused treasuries hold $5.3 billion worth of ETH and are acquiring tokens at a rate 36 times the daily ETH production rate. Additionally, ETH investment funds have maintained 12 consecutive weeks of positive inflows, including $996 million in the most recent week alone.

SharpLink Gaming, currently the largest corporate Ethereum holder, recently purchased an additional $68.4 million of Ethereum, elevating its total holdings to $1.10 billion worth of ETH. Meanwhile, Bit Digital liquidated its entire Bitcoin position, redirecting those funds into an Ether allocation. World Liberty Financial (WLFI) has also recently acquired $4.99 million worth of ETH.

While Ethereum lacks Bitcoin’s scarcity characteristics, potentially diminishing its store-of-value proposition, its staking reward capability makes institutional adoption particularly appealing to certain firms. With the SEC apparently relaxing its stance on staking-as-a-service enforcement, companies are increasingly comfortable incorporating ETH staking into their treasury strategies without regulatory concerns.

Crypto investor Ted Pillows notes that ETH is following a similar trajectory to the 2016-17 market cycle. Following the recent $3,200 breakout, he anticipates a $4,000 price recovery in the near term, followed by a more substantial rally thereafter. Prominent market maker Wintermute has also indicated that minimal ETH remains available through OTC desks, suggesting demand is overwhelming supply. When such conditions emerge, price movements typically accelerate rapidly, which many view as another catalyst supporting the $4,000 target.

The ETH/USD chart displays upward momentum supported by an ascending channel formation. Following a decisive breakout within the channel, Ethereum is currently experiencing minor consolidation below the $3,519 resistance level. Price action maintains position above the Ichimoku cloud, indicating bullish momentum and underlying support, with the cloud providing a foundation around $3,200. Technical analysis suggests two potential scenarios: a brief retracement toward the previous breakout zone (approximately $3,400), followed by a recovery, or a direct continuation to challenge the $3,519–$3,664 resistance range. Provided the price remains above the cloud and the ascending channel structure holds, the bullish perspective remains valid, with probable targets around $3,650–$3,664 in the short term. A sustained breach below $3,300 would threaten the bullish configuration and potentially reactivate the $3,100 support zone.