U.S.-listed exchange-traded funds (ETFs) tracking Ethereum (ETH) are experiencing a surge in demand, with inflows far outpacing those of their Bitcoin (BTC) counterparts. The latest trading session on August 13 saw Ethereum ETFs log a massive $729 million in inflows, marking their second-largest single-day performance since launch, according to data from SoSoValue.
This significant influx of capital was led by BlackRock’s ETHA, which alone attracted a staggering $501 million. Fidelity’s FETH followed with $154.7 million, and Grayscale’s Ethereum ETF saw $51 million in new investment. The strong performance highlights a growing institutional appetite for Ethereum, as major players shift their focus from Bitcoin.
Meanwhile, Bitcoin ETFs are seeing a slowdown in demand. The latest session recorded just $86.9 million in inflows, continuing a week of sluggish performance for the once-dominant funds. This shift in institutional preference comes even as Bitcoin’s price has been setting new all-time highs, recently climbing above $124,128.
The renewed interest in Ethereum is being driven by a belief in its long-term potential as a foundational technology for global finance. Joseph Chalom, co-CEO of SharpLink, an iGaming company that recently pivoted to an Ethereum-focused treasury strategy, stated, “We believe in Ethereum as a transformational technology and a long term opportunity.” The company, now the second-largest public holder of ETH, plans to continue its aggressive accumulation. Tom Lee, chairman of BitMine, the largest corporate holder of ETH, echoed this sentiment, calling the asset “Wall Street’s preferred choice.”
This institutional conviction has propelled Ethereum’s price, which has surged nearly 60% in the past month to trade above $4,720. While the bullish predictions for ETH are strong, with some price targets as high as $7,500, analysts are watching to see if this momentum can be sustained.
