Ethereum ETFs Soar with $1.3 Billion in Inflows as Ether Hits $4,000 – What You Need to Know!

Ethereum ETFs Surge with Record Inflows

Ethereum-based spot exchange-traded funds (ETFs) have been on a remarkable streak, with December 6 marking the 10th consecutive day of positive inflows. This trend has seen $83.3 million flow into these funds just on that day, bringing the weekly total to a staggering $836.7 million.

Fidelity’s Ethereum Fund (FETH) has emerged as the largest contributor to this inflow, accounting for $47.9 million. Alongside this, Ethereum's price has surged past $4,000, marking its highest level since March 2024, with an increase of over 10% in the past week, coinciding with the influx into Ethereum ETFs.

Record Trading Volume

This streak of inflows represents the longest since the launch of Ethereum ETFs in July 2024. On December 6, trading volume reached nearly $1 billion, making it the fourth-highest trading day since the ETFs launched. December 5 witnessed even higher trading, with $1.1 billion worth of Ether traded.

NFT Market Resurgence

Alongside Ethereum’s price rise, there has been a notable resurgence in the NFT market, with leading projects experiencing double-digit percentage gains.

Dominance of Fidelity and Other Funds

Fidelity’s FETH fund has captured more than half of the inflows, followed by BlackRock’s iShares Ethereum Trust (ETHA), which saw $34.56 million in inflows. Other notable funds include Grayscale’s Ethereum Mini Trust and Bitwise Ethereum ETF, while some like Grayscale’s Ethereum Trust saw outflows of $29.59 million.

Impressive ETF Market Growth

The Ethereum ETF market has seen over $1.3 billion in inflows in just two weeks. The largest single-day inflow occurred on December 5, with $431.5 million entering the market. BlackRock's Ethereum Trust led this surge with $295.7 million, and Fidelity contributed $113.6 million.

Bitcoin ETFs Also on the Rise

In a parallel trend, Bitcoin ETFs have experienced positive momentum, adding $3 billion since November 27, surpassing the estimated holdings of Bitcoin's creator Satoshi Nakamoto. The BlackRock iShares Bitcoin Trust accounted for a significant portion of these inflows. Despite a recent dip in Bitcoin's price below $100,000, it has seen a slight increase of 0.28% in the last 24 hours.

ETH/BTC Ratio Improvement

Ethereum’s rising price has improved the ETH/BTC ratio, which has increased by 14.5% in the past month. Analysts predict that this trend may continue over the next six to twelve months as Ethereum strengthens against Bitcoin. The surge in Ethereum's price and ETF inflows reflects a growing momentum in the market, contrasting with lower volumes seen earlier this year, such as in January.