Ethereum ETF inflows jump $729m, surpass Bitcoin ETFs

U.S.-listed exchange-traded funds tracking Ethereum have logged another day of strong inflows as institutional demand shows no signs of cooling.

Ethereum ETFs recorded $729 million in inflows in their latest trading session on August 13, according to SoSoValue data. 

BlackRock’s ETHA once again pulled the lion’s share of the inflows with $501 million, surpassing the rest of the funds by a wide margin. Fidelity’s FETH followed with $154.7 million, while Grayscale’s ETH ETF saw $51 million.

Bitwise’s ETHW added a more modest $10.8 million, and the remaining funds posted single-digit inflows. The combined total marks the ETFs’ second-largest single-day haul since launch, only behind the record $1.02 billion set just days ago.

In contrast, Bitcoin ETFs are struggling to keep pace.

Bitcoin ETF inflows fade as demand cools

Despite once dominating the sector, the exchange-traded funds tracking BTC (BTC) have struggled in recent days. SoSoValue data shows just $86.9 million in inflows in their latest trading session, extending their week-long run of sluggish performance.

Issuers like Ark and Fidelity led the charge with $37 million and $27 million respectively. Grayscale logged approximately $11.4 million, while Bitwise and Invesco recorded less than $10 million each, and BlackRock, zero activity. 

The slowdown comes even as Bitcoin surges 8% on the week, recently climbing above 124,128 to set a new all-time high. The switch in the ETF performance comes as market spotlight shifts from BTC to ETH (ETH), which is now seeing increased traction among institutional players and dominating industry-wide chatter.

Ethereum is”Wall Street’s preferred choice”

Soaring institutional interest has been a game changer for Ethereum in recent months, renewing market conviction in its potential. This has seen a wave of corporate giants commit billions to accumulation, with over $14 billion worth of ETH already scooped up by this investor class in just a few months.

Speaking to crypto.news in a recent interview, Joseph Chalom, the co-CEO of SharpLink, the iGaming that recently pivoted to an Ethereum-focused treasury strategy and is now the second largest public holder of ETH, said that the asset is becoming incredibly recognized as the next “trustware of global finance.” 

“We believe in Ethereum as a transformational technology and a long term opportunity,” said Chalom. Our investment thesis is Ethereum will be the neutral, decentralized platform that will secure stablecoins, a range of tokenized real world assets, and other economic activity for the next generation.”

SharpLink CEO Joseph Lubin also recently doubled down on the company’s long-term bet, emphasizing its commitment to keep up aggressive accumulation and becoming the largest public holder of ETH. 

Tom Lee, chairman of the largest corporate holder of ETH BitMine, has also called the asset “Wall Street’s preferred choice,” expecting it to outperform Bitcoin. The strong interest from both the ETFs and corporate buyers has surged ETH nearly 60% in the past month, now trading at above $4,720.  Industry price targets for ETH are now at $7,500, though some like Tom Lee believe that even this is too small. 

Right now, Ethereum looks well-positioned to deliver on the bullish predictions, but whether the renewed conviction can sustain positive momentum remains to be seen.