BlackRock led a $9.23 million inflow to U.S. spot ether ETFs on Monday, with its ETHA fund alone attracting $11.75 million in fresh capital. This surge contrasts sharply with ongoing outflows from bitcoin funds, which saw $11.64 million withdrawn during the same session, marking a third consecutive day of net losses for bitcoin ETFs.
Bitcoin’s decline in institutional interest has been gradual but consistent. On Monday, BlackRock’s IBIT experienced an $8.82 million withdrawal and Fidelity’s FBTC lost $2.82 million, with no bitcoin fund managing to attract new investors. Total bitcoin ETF trading volume hit $1.34 billion against combined net assets of $78.71 billion.
Meanwhile, ether ETFs bucked the trend, with the category pulling in fresh demand despite a $2.52 million withdrawal from Invesco’s QETH dampening gains. Trading volumes for ether ETFs reached $775.34 million, pushing net assets to $10.65 billion. This influx reflects a broader preference among institutional investors to diversify beyond bitcoin and into ether and smaller altcoins, which also saw modest gains on Monday through products tied to Solana and XRP.
Fidelity International’s Digital Assets Strategist, Giselle Lai, noted that bitcoin typically serves as an initial entry point for institutions stepping into crypto markets. However, ETFs are making it easier for big players to finesse their investment allocations, allowing them to weigh ether and other altcoins more confidently instead of sticking exclusively to bitcoin. This dynamic also aligns with recent moves by Morgan Stanley to expand its crypto ETF lineup with Ether and Solana options after bitcoin’s earlier success.
On the other hand, hype-driven ETFs continue to shed capital, with $2.89 million pulled from products under that category, raising questions about their ability to maintain their roughly $279 million asset base post-launch.
This material is informational and does not constitute financial advice.
