Ethereum News Today: Ethereum ETFs Surge Past Bitcoin With $1 Billion in Daily Inflows

Ethereum-based exchange-traded funds (ETFs) have recorded a historic milestone, drawing over $1 billion in a single day, according to data from SoSoValue [1]. This surge in inflows far outpaced the performance of Bitcoin-focused ETFs, which only managed to attract approximately $178.15 million during the same period [2]. The iShares Ethereum Trust ETF (ETHA) led the inflow with $640 million, while the Fidelity Ethereum Fund (FETH) added $276 million, signaling strong institutional and retail investor interest in Ethereum [1].

This trend marks a clear reversal from earlier in the year when Ethereum ETFs faced significant outflows. Now, the inflow momentum has pushed the total net assets of Ethereum ETFs to $25.71 billion, which represents nearly five percent of Ethereum’s total market capitalization [1]. This development highlights a potential shift in investor sentiment from Bitcoin to Ethereum, which has also been reflected in the ETH/BTC trading pair. The pair has surged to 0.036 BTC, its highest level since January, with a 55 percent increase over the past two months [2].

Ethereum’s price has also been lifted by the ETF inflow surge, trading at $4,293 and approaching its all-time high of $4,878 [1]. The recent performance of Ethereum ETFs suggests that investors are increasingly favoring products tied to the second-largest cryptocurrency, potentially reevaluating the traditional dominance of Bitcoin in the ETF space. This shift could reshape the broader crypto investment landscape, particularly as more institutional investors look to diversify their holdings and seek exposure to Ethereum’s evolving ecosystem.

Analysts speculate that factors such as regulatory clarity for Ethereum products and the network’s transition to a proof-of-stake consensus model may be contributing to the growing interest in Ethereum-based ETFs [2]. As Ethereum continues to gain traction, the competitive dynamics between the two leading cryptocurrencies are becoming more pronounced, with Ethereum ETFs now leading the charge in terms of both inflows and price action [1].

The trend appears to be gaining momentum, with Ethereum ETFs adding significant inflows in July, outperforming combined inflows into BlackRock’s Bitcoin and Ethereum ETFs during the same period [2]. While Bitcoin remains the largest cryptocurrency by market capitalization, the growing preference for Ethereum-based products indicates a shift in investor priorities, with a focus on innovation, scalability, and sustainability [2].

[1] Source: 36Crypto - https://coinmarketcap.com/community/articles/689b34cd89d58414926bbc50/

[2] Source: Binance - https://www.binance.com/en/square/profile/cryptounivrse