Grayscale Ethereum Trust Exchange Traded Funds (ETHE) is one of the newly launched Ethereum ETFs and has hit a net outflow of $1.513 billion in the first four days of trading.
ETHE has recorded significant outflows since the launch of trading on the spot Ethereum ETFs, the latest being an outflow of $356 million yesterday to take its total number of outflows in the first four days of trading to $1.513 billion.
According to Farside Investors UK Data, ETHE recorded an outflow of $484.1 million on the first day of trading, its highest of the four days so far. On The second day, it recorded an Outflow of $326.9 million. The Third day saw an outflow of $346.2 million while yesterday it recorded an outflow of $356.3 million.
The nine-spot Ethereum ETFs recorded a net outflow of $162.7 million yesterday highlighting a growing challenge in the performance of the newly launched Ether ETFs.
Besides the Outflow, some of the nine spot Ethereum ETFs recorded inflows yesterday despite the massive drain from Grayscale’s ETHE.
Blackrock’s ETHA recorded an inflow of $87.2 million, Fidelity’s FETH recorded an inflow of $39.3 million, Bitwise ETHW recorded an inflow of $16.0 million, Grayscale’s Ethereum Mini Trust ETF (ETH) recorded an inflow of $44.9 million and Franklin Templeton recorded an inflow of $6.2 million.
Despite the inflows, the massive outflow on Grayscales’ ETHE resulted in the nine ETFs ending the day with a deficit of $162.7 million.
Blackrock’s ETHA recorded the biggest inflow yesterday with $87.2 million continuing from the trend it set in the Bitcoin ETFs where it is also leading in inflows. This reflects the market presence of Blackrock and highlights the interest of Institutional investors in their products.
Grayscale’s financial products seem to be on both sides of the spectrum. While its ETHE product has been recording outflows from day 1 of trading, its smaller Mini trust product has been doing well recording the second largest inflow yesterday with $44.9 million.
Overall, the nine-spot Ethereum ETFs have recorded a cumulative net outflow of $341 million spelling a major challenge for the ETFs giving the investor money flight from the ETF products.
The spot Ethereum ETFs however have slightly impressed in terms of inflow and total trade volume according to Top analyst James Seyffart who retorted that the trade volume on the first day of trading which crossed $1 billion was not as bad as he thought.
What to Know
- The nine-spot Ethereum ETFs were launched for trading on July 23 by the United States Security and Exchange Commission under Gary Gensler. It put an end to an Eight-month approval process.
- The successful launching of the Bitcoin and Ethereum ETFs has paved the conversation for the next crypto asset to launch an ETF product. Industry watchers are betting on Solana to be the next crypto asset to get an ETF.
