U.S.-based spot Ethereum ETFs experienced record outflows totaling $465 million in a single day, highlighting significant investor profit-taking activity.
On Monday, spot Ethereum ETF products saw net outflows amounting to $465.1 million, marking the highest single-day withdrawal since Ethereum ETFs were introduced to the U.S. market. This significant withdrawal contrasts sharply with the robust inflows seen recently—$2.2 billion during the second week of July and $1.9 billion in the third week. The outflows were led by BlackRock's ETHA fund, accounting for $375 million, alongside significant withdrawals from Fidelity’s FETH and Grayscale’s ETHE and Ethereum Mini Trust.
Analysts interpret this outflow as short-term profit-taking rather than a decline in institutional demand. Nick Ruck, Director of LVRG Research, emphasized that these withdrawals do not signify reduced institutional interest. Vincent Liu, CIO at Kronos Research, echoed this sentiment, attributing the movements to short-term risk aversion strategies. Presto Research Head Peter Chung suggested the outflows might have been influenced by weak U.S. employment data released last week and could quickly reverse following the recent market recovery.
Despite ETF outflows, Ethereum’s price remained resilient, recovering from a weekend drop to gain 4.1% over the past 24 hours, reaching $3,675. Meanwhile, Bitcoin ETFs also saw outflows of $333.2 million on the same day, though notably lower than Friday's $812.3 million withdrawal.
