The U.S. market for spot Ethereum exchange-traded funds (ETFs) has experienced a notable shift in investor sentiment, marking a resurgence of enthusiasm after six consecutive weeks of outflows. Last week saw the largest weekly inflows into Ethereum ETFs since early August, signaling renewed confidence in the market.
Data from SoSoValue reveals that U.S.-based spot Ethereum ETFs recorded inflows totaling $58.7 million on Friday alone, bringing the total weekly inflow to $84.5 million. This positive turn broke the six-week trend of net outflows.
Fidelity’s FETH Leads Inflows, but BlackRock’s ETHA Hits Major Milestone
Fidelity’s FETH fund spearheaded the inflow surge, attracting $42.5 million in just one day. BlackRock’s ETHA fund followed with $11.5 million in inflows. While Fidelity saw the highest single-day inflow, BlackRock’s ETHA fund achieved a significant milestone—surpassing $1 billion in total net asset value just two months after its launch. This makes it the second Ethereum ETF to reach this threshold, following Grayscale’s Ethereum Mini Trust.
The achievement has placed BlackRock’s Ethereum ETF among the top 20% of more than 3,700 ETFs available in the U.S. market, according to Nate Geraci, president of The ETF Store.
Other funds also performed well, with Bitwise’s ETHW receiving $5.4 million, Invesco’s QETH pulling in $4.3 million, Grayscale’s ETH logging $2.3 million, VanEck’s ETHV taking $2 million, and 21Shares’ CETH attracting $1.4 million in inflows. However, Grayscale’s ETHE saw $10.7 million in outflows, and Franklin’s EZET fund remained unchanged.
The renewed inflows occurred on three out of five trading days last week, marking only the second week of positive inflows since the funds launched in late July. The total net asset value of all Ethereum ETFs now stands at $7.4 billion, the highest since August 26.
Ethereum Outperforms Bitcoin Amid Increased Blockchain Activity
The recent rate cut by the Federal Reserve appears to have bolstered market confidence, with Ethereum’s price outperforming Bitcoin. Additionally, rising transaction fees reflect heightened activity on the Ethereum blockchain, signaling growing interest in the world’s second-largest cryptocurrency by market capitalization.
SEC Postpones Decision on Ethereum ETF Options
The U.S. Securities and Exchange Commission (SEC) has delayed its decision on Nasdaq’s proposal to list and trade options on BlackRock’s iShares Ethereum Trust (ETHA). Initially expected by September 26, the ruling has now been postponed to November 10. The SEC stated that the extension allows for a more thorough evaluation of the proposal’s potential impact on market stability.
This postponement follows the SEC’s recent approval of options trading for BlackRock’s iShares Bitcoin Trust (IBIT) after addressing concerns related to market manipulation and excessive risk-taking. The SEC’s decision to delay is within its authority under Section 19(b)(2) of the Securities Exchange Act, which allows up to 90 days for further review.
Additionally, the SEC has delayed its ruling on a separate proposal by NYSE American LLC related to Ethereum ETF options.
