CandleFocus

An end-of-year ETH ETF check-in

The US spot ether products celebrated their fifth month anniversary with consistent net inflows after the election. However, Grayscale's Ethereum Trust (ETHE) experienced a flood of net money outflows after converting to an ETF, which could not be fully offset by inflows into other funds. The educational understanding of ETH's value proposition and competition from other layer-1s like Solana also contributed to flat flows. Bitcoin has gained more institutional attention and net inflows compared to ETH due to its digital gold narrative. CoinShares research associate Luke Nolan predicts that ETH could hit a new high in February or March if ether ETF flows remain strong. Keeping an eye on crypto ETF flows will provide insights into investor sentiment towards assets like BTC, ETH, and potentially others entering the ETF market.

Related News