After being unexpectedly approved by the US Securities and Exchange Commission (SEC), spot Ethereum ETFs have become a significant topic in the cryptocurrency world. However, these crypto investment products seem to have had a lackluster start to trading in the past week.<\/p>\n
The spot Ethereum ETFs, launched on July 23, saw notable outflows over the first week, totaling a net outflow of approximately $341 million. The launch day saw a positive start with around $106.8 million in net inflows, which was considered a good beginning. However, the following days saw significant outflows, with over $133 million on Wednesday, $152 million on Thursday, and $162 million on Friday.<\/p>\n
Grayscale’s ETH Trust ETF ETHE notably contributed to the outflows, with a single-day outflow of over $356 million on Friday. Since the launch of spot Ethereum ETFs, this Grayscale product has seen a cumulative net inflow of $1.51 billion.<\/p>\n
The price of Ethereum has faced challenges post the Ether ETFs launch, seeing a decline of over 7% in value in the last week. Currently, the ETH price hovers around $3,248 with a 1.1% decrease in the past day.<\/p>\n
A recent report from CryptoQuant suggests that new capital inflows, like ETFs, have a lesser impact on Ethereum compared to Bitcoin. Their metric, the “realized capitalization multiplier,” indicates that each dollar invested in Bitcoin could increase its market cap by $5, while for Ethereum, it would only lead to a $1.3 increase.<\/p>\n
\nIn 2024, every $1 invested in #Bitcoin<\/a> increased its market cap by $5, while for ETH, it was only $1.3. <\/p>\n
New money flows have a weaker effect on $ETH<\/a> than Bitcoin. pic.twitter.com\/CtAmmMVL8g<\/a><\/p>\n