Following a significant market crash that caused Ethereum to tumble 23% in less than 24 hours, U.S. spot Ethereum ETFs experienced a positive day of inflows. On August 5, nine newly launched spot ETH ETFs saw an aggregate inflow of $49 million. This marked the second-highest inflow day since the funds began trading. The fact that this was only the fourth day of inflows in the past ten days suggests that institutional investors were actively buying the dip in Ethereum.
Top Performers in Inflows
Among the Ethereum ETFs, BlackRock’s ETHA fund led the pack with an inflow of $47.1 million, bringing the total flow of funds to the product to $760 million. VanEck’s ETHV fund followed closely behind with an inflow of $16.6 million, while Fidelity’s FETH received $16.1 million. Other notable inflows included Bitwise ETHW fund with $7.2 million and Grayscale’s Ethereum Mini Trust (ETH) attracting $7.6 million.
Interestingly, while Ethereum ETFs saw inflows during the market dip, Bitcoin funds experienced outflows. Bitcoin funds had an outflow of $168.4 million on Monday, with Fidelity, Ark 21Shares, and Grayscale all seeing outflows ranging from $58 to $70 million. In contrast, there were minor inflows for Bitwise and VanEck Bitcoin funds. Bitwise’s CIO commented that investors were primarily interested in purchasing Ethereum during the dip.
Ethereum experienced a significant drop to its lowest price in 2024 at $2,171 on August 5. This steep decline marked the fastest drop in ETH prices since May 2022, with the asset losing 34% in less than a week. However, there have been signs of recovery during the Tuesday morning Asian trading session, with Ethereum reclaiming $2,500. To sustain this upward momentum, Ethereum will need to break resistance at $2,900, which may take some time, especially if Bitcoin’s recovery is slow.
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