Ethereum News Today: Investors Bet Big on Ethereum Over Bitcoin Amid ETF Shift

Inflows into digital asset investment products in August 2025 have totaled $4.37 billion, with Ethereum continuing to outperform Bitcoin despite a broader industry correction. According to data from CoinShares, Ethereum-based funds attracted $3.95 billion in inflows for the month, while Bitcoin recorded outflows of $301 million. The trend underscores a shift in investor preference towards Ethereum, driven in part by optimism around potential US ETF launches and the broader adoption of tokenized real-world assets on the Ethereum network [1].

This dynamic was further reflected in the performance of spot Ethereum ETFs, which have drawn significantly higher inflows than their Bitcoin counterparts over the past five trading days. Data from CoinGlass indicates that from August 21 through August 26, spot Ethereum ETFs received $1.83 billion in inflows, a figure more than ten times that of spot Bitcoin ETFs, which only attracted $171 million. The disparity has continued into the following week, with Ethereum ETFs pulling in $310.3 million in a single day compared to $81.1 million for Bitcoin funds [3].

However, the trend has not been without volatility. On the week ending September 6, Ethereum ETFs recorded substantial outflows of $164.64 million, with Bitcoin ETFs also losing $126.64 million in a single trading day. The outflows coincided with the release of core Personal Consumption Expenditures (PCE) data showing year-over-year inflation at 2.9%, the fastest pace since February. This raised concerns that the Federal Reserve might delay rate cuts, prompting institutional investors to take profits [2]. Fidelity, Grayscale, and Bitwise were among the largest outflow contributors, while BlackRock and WisdomTree saw modest inflows amid the broader retreat [2].

Despite the recent reversal, Ethereum has shown greater price resilience than Bitcoin in the short term. Over the week, Ether climbed 5% from its Tuesday low, while Bitcoin gained just 2.8% over the same period. Analysts such as Anthony Sassano and Nate Geraci have noted the “brutal” shift in investor sentiment, pointing to Ethereum’s leading role in the stablecoin and tokenized asset markets as a key factor. VanEck CEO Jan van Eck has even described Ethereum as the “Wall Street token” due to its growing institutional traction [3].

Looking ahead, the direction of Ethereum and Bitcoin ETF flows will likely depend on how investors interpret new data throughout the week. If inflationary pressures persist, further outflows could be expected, especially at the beginning of the week. However, any sign of cooling inflation could lead to renewed inflows, particularly into Ethereum. On the price front, Bitcoin remains above $109,900, with a critical level of $110,000 acting as a key resistance. Ethereum is currently trading near $4,470, with a close above $4,500 seen as a potential signal of renewed bullish confidence [2].

Source: [1] Digital asset fund flows | September 1st 2025 (https://coinshares.com/corp/insights/research-data/fund-flows-01-09-25/) [2] ETH and BTC ETFs Reverse Gains with $291M in Outflows ... (https://www.newsbtc.com/altcoin/eth-and-btc-etfs-reverse-gains-with-291m-in-outflows-ahead-of-new-week/) [3] Ether ETFs capture 10x more inflows than Bitcoin in 5 days (https://www.bitget.com/news/detail/12560604936801)