Today, our focus is on Ethereum. You remember that Ethereum is not just another coin, but a true monster among cryptocurrencies, and now it's also in the ETF bowl. But wait, don’t rush to clap your hands, because there are surprises.
So, in recent days, the spot Ethereum ETF has been experiencing… well, let's say, a real boom and crisis at the same time. Why?
Net outflow: Grayscale is in shock, and somewhere… tears
According to data from SoSoValue (funny name, isn't it?), as of April 30, the spot Ethereum ETF experienced a net outflow of $2.3599 million. That's unpleasant. Interestingly, the biggest losses were incurred by the Grayscale Ethereum Trust (ETHE). It saw the largest net outflow in one day, totaling $7.1321 million! Against this backdrop, its historical total net outflow amounted to a staggering $4.291 billion. What does this say? Well, obviously, Grayscale is no longer the crypto hero it once was.
Maybe there’s something wrong with their management? Perhaps they've lost their former appeal? One thing is for sure: investors are fleeing from there like cockroaches from light. And who can blame them?
But what if it's not that bad? Here comes Fidelity!
But it's not all that grim. While one giant is sinking to the bottom, another is rising. Hold on tight, because Fidelity FETH has experienced the largest net inflow in one day, totaling a whopping $5.7953 million! That's almost $6 million that came where Ethereum was and remains a star. And you know what's most interesting? This increases the total historical inflow to Fidelity to an astounding $1.458 billion!
Here you have the difference. One fund is losing billions while another is increasing them every day. It seems Fidelity knows what they're doing.
The market is stable, but there is a chance for strategists!
Now for some serious analysis. The total net asset value of all spot Ethereum ETFs is $6.17 billion. For comparison, this is about 2.85% of the total market value of Ethereum. What does this tell us? Ethereum is not just some hype project; it is indeed a serious player, and it continues to receive investments despite some short-term outflows.
Moreover, the total cumulative net inflow of $2.481 billion is also a very impressive figure. Considering that despite the fluctuations, Ethereum continues to attract money, it means that more and more institutional investors are drawn to it. Well, those who left Grayscale probably don’t have much faith in the long-term prospects of that fund.
Conclusions:
You shouldn't build a sandbox based on just one day. These numbers may change, but one thing remains clear: the Ethereum market is not going to stop, even if some participants are trying to escape from it. Fidelity FETH, with its crazy inflows, clearly proves that not all cryptocurrency investors just want to watch coin prices fall.
