Ethereum, the second largest cryptocurrency asset, is currently gaining attention as crypto investors show renewed interest in and adoption of historical Spot Ethereum Exchange-Traded Funds (ETFs). Recently, millions of dollars flowed into these products after the market closed on Wednesday.
This inflow is seen as a bullish sign for ETH, indicating that despite recent market challenges, enthusiasts are increasingly optimistic about the altcoin’s long-term prospects.
Spot Ethereum ETFs Experience First Positive Inflow In Almost Two Weeks
On Wednesday, the spot Ethereum ETFs witnessed a positive capital inflow once again, following a period of outflows and stagnation. This uptick in inflows suggests a return of investors’ interest and confidence in the digital asset as it rebounds.
According to reports from Wu Blockchain, the spot Ethereum ETFs saw a daily inflow of over $5.84 million, marking the first positive trading in almost two weeks, specifically in the last 9 days.
Notably, Blackrock’s Ethereum ETF (ETHA) contributed significantly to the total inflow with over $8.39 million, while Fidelity ETH ETF (FETH) also showed a positive capital flow of about $1.25 million.
Other asset management company funds such as Bitwise ETH ETF (ETHW), 21Shares ETH ETF (CETH), VanEck ETH ETF (ETHV), and Franklin ETH ETF (EZET) saw no inflows. Additionally, Grayscale ETH ETF (ETHE) experienced an outflow of capital amounting to approximately $3.8 million.
With both institutional and individual investors returning to the market, there is speculation within the community that this development could signal the beginning of Ethereum’s recovery phase.
Significant ETH Whales Sales Amidst Spot ETFs Outflows
While spot Ethereum ETFs showed negative sentiment, several ETH whales were observed selling off the digital asset in large quantities, sparking discussions about its impact on the price.
One notable sell-off was conducted by the Ethereum Foundation, a nonprofit organization supporting the ETH blockchain network financially and non-financially.
Data from Spotonchain revealed that the Foundation moved over 35,000 ETH, valued at $93.8 million, to the San Francisco-based crypto exchange Kraken on August 23. Subsequently, ETH’s price decreased by 9% a few days after the transaction.
Despite these large sales, the Foundation still holds approximately 275,000 ETH, valued at $677 million, and has a history of moving Ethereum prior to major dumps.
Featured image from Unsplash, chart from Tradingview.com
