TLDR
- Ethereum ETFs saw $48.7 million in net inflows on August 5, 2024
- The inflows occurred during a major downturn in global stock markets
- Bitcoin ETFs experienced $168.4 million in net outflows on the same day
- Ethereum’s price rebounded to $2,552 following the market turbulence
- Cumulative inflows for Ethereum ETFs remain negative at -$461.98 million
U.S.-based spot Ethereum exchange-traded funds (ETFs) demonstrated resilience on Monday, August 5, 2024, as global markets experienced significant turbulence.
Data from SoSoValue reveals that Ethereum ETFs recorded $48.7 million in net inflows, marking their second-largest daily inflow since their launch on July 23, 2024.
This positive flow for Ethereum ETFs came on a day when major stock indices worldwide saw substantial declines. The Dow Jones Industrial Average fell by 2.6%, while the S&P 500 and Nasdaq Composite experienced even steeper drops of 3% and 3.43%, respectively.
These declines represented the worst single-day performance for these indices since September 2022. In Japan, the situation was even more dramatic, with the Nikkei 225 index plummeting by over 12%, its most significant single-day drop since 1987.
The inflows into Ethereum ETFs were led by BlackRock’s ETHA fund, which attracted $47.1 million, pushing its total inflows beyond $750 million. Other funds also saw positive flows, with VanEck’s ETHV and Fidelity’s FETH each recording over $16 million in inflows. Smaller inflows were noted for products from Grayscale, Bitwise, and Franklin Templeton.
However, not all Ethereum ETFs shared in this success. Grayscale’s ETHE fund continued its trend of outflows, losing $46.8 million on August 5. Since the introduction of Ethereum ETFs in the U.S., ETHE has seen a total of $2.16 billion in outflows.
In contrast to the Ethereum ETF inflows, Bitcoin ETFs experienced significant outflows on the same day. Net outflows for Bitcoin ETFs totaled $168.4 million, with major funds like Grayscale Bitcoin Trust (GBTC), ARK 21Shares Bitcoin ETF (ARKB), and Fidelity Wise Origin Bitcoin Fund (FBTC) seeing the largest outflows.
Despite the mixed performance of crypto ETFs, the broader cryptocurrency market showed signs of recovery. Ethereum’s price rebounded significantly, rising more than 10% to reach $2,552. Bitcoin also recovered from earlier lows, trading at $55,950. The global cryptocurrency market capitalization increased by 8.6% over 24 hours, reaching $2.07 trillion.
Market analysts are closely watching these ETF flows as indicators of investor sentiment. Pav Hundal, lead market analyst at crypto exchange Swyftx, noted the contrast between the broader market sell-off and the steady buying of Ethereum by ETF investors with long-term strategies.
