Ethereum ETFs Experience Positive Momentum 🌟
Ethereum exchange-traded funds (ETFs) have observed a remarkable trend, achieving five consecutive days of positive net inflows. This consistent influx indicates that Wall Street’s perspective on Ethereum has shifted favorably, reflecting increasing investor confidence.
Importantly, this change in trend has led to the cumulative flows of these funds turning positive for the first time since they received approval from the SEC. For a while, Ethereum had been trailing behind Bitcoin (BTC) in terms of ETF popularity since July.
Strong Inflows Captured 🔍
Recent data compiled on ETH ETF inflows from November 6 to November 12 revealed an unprecedented five-day streak of positive activity, as noted by CoinGlass. A peak was observed on November 11 when the total daily inflow reached an impressive $295.50 million. BlackRock’s ETHA fund was a standout performer, contributing $101.10 million of that total.
The following day, November 12, witnessed ETHA recording its highest daily influx yet, acquiring $131.40 million worth of ETH. This activity was largely driven by BlackRock, which together with other funds summed up to a total of $135.90 million on Tuesday.
Overall, the combined lifetimes inflow for all Ethereum ETFs has risen to $94.80 million, marking a positive turnaround following significant movements from BlackRock on the previous day.
Insights and Expert Views on Ethereum and ETFs 📈
In light of these developments, Eric Balchunas, a senior ETF analyst with Bloomberg, has expressed a positive outlook for Ethereum and its associated ETFs. He highlighted the lack of outflows from Grayscale’s ETHE over the past week, although he maintains a stronger preference for Bitcoin spot ETFs. Notably, BlackRock’s IBIT has experienced exceptional inflows during this current bullish period, outpacing even gold ETFs.
“Trending in the right direction, the ETHE unlock appears to be over too—no outflows in six days. Sunny days are ahead, although it remains far behind BTC ETFs.”
– Eric Balchunas
While Wall Street analysts express optimism, the broader crypto community has voiced skepticism and criticism regarding a new upgrade roadmap. Ethereum researcher Justin Drake introduced a proposal aimed at enhancing the protocol’s consensus layer over the next five to seven years.
One notable critic, Jason Yanowitz, co-founder of Blockworks, characterized this roadmap as “actual insanity.” Similarly, Alex Krüger, a reputable trader and economist, referred to Ethereum as “dinosaur tech,” suggesting it is predisposed to underperform relative to many assets.
Current State of Ethereum (ETH) Pricing 📊
The price of ETH is beginning to reflect this renewed bullish sentiment from Wall Street, having recovered from a three-month phase of consolidation, now trading at $3,236.
This upward movement is further fueled by significant purchases from prominent investors, known as “whales,” who collectively acquired over $34 million worth of ETH. Additionally, Ethereum is exhibiting strength in fundamental metrics, particularly its Real Economic Value (REV), currently holding the position of the second-largest REV in the market, only slightly behind Solana (SOL), which recently reached an all-time high.
Hot Take 🔥
As a crypto reader, it’s important to keep abreast of these recent developments surrounding Ethereum and its ETFs. The changing landscape indicates a newfound bullishness among investors on Wall Street, while concurrently stirring debate within the crypto community. Your awareness of these factors can enhance your understanding of Ethereum’s evolving narrative, helping you navigate the intricate world of crypto investment wisely.
By
By
By
By