As of November 12th, Ethereum [ETH] ETFs achieved a significant milestone by entering positive net flows for the first time since their inception.
Recent data showcased a daily net increase of $135.92 million, pushing total inflows to $94.62 million.
Trading activity also saw a surge, with a total trading value of $582.18 million and cumulative net assets rising to $9.67 billion.
Among the nine ETFs, five experienced inflows, while the Grayscale Ethereum Trust [ETHE] was the only one to observe outflows, leaving the rest with stable inflow rates.
Insights from Industry Leaders
The latest progress drew attention from prominent figures within the industry on X (previously known as Twitter).
Nate Geraci, the President of the ETF Store, emphasized the significance of the positive net flows achievement for ETH ETFs, particularly after enduring
“Outflows amounting to $3.2 billion from ETHE.”
Gearci also noted that out of 610 total launches, 19 of the top 50 ETF debuts this year were related to Bitcoin [BTC], ETH, or MicroStrategy, with 12 amongst the top 18 – an impressive statistic.
Furthermore, the iShares’ Ethereum Trust [ETHA] was identified as the 6th most successful ETF launch in 2024.
Ryan Sean Adams, the co-founder of Bankless, chimed in on the situation as well, mentioning how ETHE’s significant outflows had counteracted potential ETF-driven growth for Ethereum.
However, with the shift towards positive inflows for the first time, Adams speculated that this could be the catalyst for
“Pushing Ethereum’s value to $10k.”
Record Inflows for Ethereum ETFs
This recent breakthrough came after a remarkable day on November 11th for ETFs, as they saw unprecedented inflows totaling $295 million.
Industry leaders such as Fidelity and BlackRock spearheaded this surge, nearly tripling the previous peak of $106.6 million registered on the launch day.
Eric Balchunas, senior ETF analyst at Bloomberg, shared his insights on X, stating that ETFs were
“Headed in the right direction.”
Balchunas further predicted a positive trajectory for ETFs, mentioning
“Bright days ahead, though still a considerable distance behind BTC ETFs.”
Performance of BTC ETFs
Simultaneously, BTC ETFs achieved a noteworthy milestone of their own. Balchunas disclosed on X that Bitcoin ETFs crossed the $90 billion threshold in assets under management with a substantial $6 billion surge.
This growth consisted of $1 billion in new allocations and $5 billion in market appreciation. Consequently, Bitcoin ETFs were now 72% closer to surpassing gold ETFs in overall assets.
Illustrating the mounting demand, IBIT garnered $1 billion in trading volume in just 25 minutes—faster than the prior day, where it went on to break an all-time record.
Balchunas described the ongoing fervor surrounding BTC ETFs as a “feeding frenzy” that showed no signs of waning.