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Key Takeaways
- Spot Ethereum ETFs in the U.S. attracted $443.9 million in a single day, outpacing Bitcoin ETF inflows.
- BlackRock and Fidelity led with over $400 million in combined inflows, reflecting strong institutional confidence.
- Despite ongoing market volatility, both ETH and BTC ETFs registered positive inflows, signaling long-term optimism.
Spot Ethereum exchange-traded funds (ETFs) in the US experienced massive net inflows of $443.9 million on Monday, their positive momentum for the third consecutive day. The jump underscores the increasing attractiveness of Ethereum to institutional investors, who are tending to switch their focus from Bitcoin to Ethereum, notwithstanding the overall market downward trend.
In line with SoSovalue figures, the cash inflows of spot Ethereum ETFs dwarfed those of Bitcoin ETFs, thus indicating a robust rotational trend of investor sentiment.
Ethereum ETFs Grab The Lead With Backing From Institutions
The best-performing fund of BlackRock’s iShares Ethereum Trust (ETHA) was the one that made it to the top, gathering $314.9 million in inflows on Monday. Harmony’s FETH came second with $87.4 million. Apart from these, Mini Ethereum Trust by Grayscale, Bitwise, 21Shares, and Invesco were some of the entities that made positive contributions to the market, i.e., they reported positive net flows.
Such strong demand suggests Ethereum is becoming a digital asset with speculative features only being one of them. The reasoning of this phenomenon by the analysts is that ETH’s yield-producing properties, alongside corporate adoption for treasury purposes, and nearly perfect regulatory clarity are the main triggers of the uptrend.
Nick Ruck, director at LVRG Research, commented:
“Ethereum ETFs continued to outpace Bitcoin ETFs in inflows, highlighting a significant rotational shift. Investors are recognizing Ethereum’s dual role as a decentralized network and an asset with yield potential.”
Bitcoin ETFs Bounce Back After Outflows
Despite Ethereum capturing the main attention, Bitcoin ETFs also managed to break their losing sequence. After six days in a row of outflows, spot Bitcoin ETFs jointly unveiled net inflows of $219 million for Monday.
The highest amount of money came from the BlackRock and Fidelity-backed funds, which is at first glance, a good sign of renewed interest. By enabling positive flows, it reflects that although there might be an attraction of more aggressive allocations towards Ethereum, the position of Bitcoin as a core holding for institutional portfolios is still intact.
Market Declines Amid Fed-Driven Volatility
The strong face of the ETF inflows could not save the broader crypto market from getting shaky. At the start of the day, Bitcoin dropped under $110,000 for the first time in over six weeks and Ethereum with other major altcoins decreased more sharply.
The decrease in prices happened because of the fading of the optimistic mood a while ago, from Jerome Powell’s Fed chair dovish remarks last Friday. Thus, the investors decided to take a more cautious approach and brushed off volatile assets from their portfolios.
However, the continuous inflows into both Bitcoin and Ethereum ETFs indicate that institutional players are still holding on to their belief in the long-run prospects of leading cryptocurrencies thus, market volatility, as usual, has little impact on them.
Ethereum’s Strategic Edge Over Bitcoin
ETF recent success of Ethereum loudly declares the fact that it is already widely accepted as more than just another crypto coin. Besides, the no-brainer blockchain of the world has a lot to offer such as various staking options, continuous chain upgrade and the introduction of decentralized2 finance (DeFi) & tokenization sectors will not only partially cover the network needs but will also become the major contributor to the future growth of the Ethereum ecosystem.
On the other hand, Bitcoin is still largely considered a store of value and digital gold. However, the use cases of Ethereum are causing it to be considered as an investment that has more use cases and is more flexible, mainly by asset managers who are looking for a crypto sector exposure that is diversified.
Summary
Spot Ethereum ETFs outshined Bitcoin ETFs on Monday, drawing $443.9 million in net inflows—more than double the $219 million recorded by Bitcoin ETFs. BlackRock and Fidelity led the charge, fueling optimism about Ethereum’s growing institutional adoption.
Even as Bitcoin dipped below $110,000 and Ethereum prices declined, the ETF inflows highlighted institutional resilience and a strategic shift toward Ethereum’s yield-driven and utility-based model. The trend suggests that Ethereum’s role in the digital asset space is strengthening, and investor confidence remains firm despite volatile markets.
Also Read: U.S. Banks Raise Alarm Over GENIUS Act’s Stablecoin Loophole
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