After a red-hot July, Ethereum ETFs hit a wall this week as outflows surged to $465 million on Monday alone—marking one of the worst days on record for the newly launched funds.
BlackRock’s iShares Ethereum Trust (ETHA) led the rout with a staggering $375 million outflow, followed by $55.1 million pulled from Fidelity’s Ethereum Fund (FETH). Not a single ETH fund saw positive flows to start the week, with several recording flat activity.
The sharp reversal comes just days after a record-breaking July, when Ethereum-based ETFs drew over $5.4 billion in inflows—an impressive figure given ETH’s smaller market cap relative to Bitcoin. The bullish momentum had also pushed ETH’s price close to $4,000, marking a nearly 50% monthly rally.
Despite the recent outflows, Ethereum’s price has held firm, climbing about 4% in the past 24 hours. This suggests that short-term ETF exits may not be rattling broader investor sentiment—at least for now.
ETF Flows Turn Choppy for ETH and BTC Alike
The downturn extends beyond Ethereum. Bitcoin ETFs also posted $333 million in outflows on Monday. Though significant, that figure is still less severe than Friday’s $812 million plunge—the second-worst day ever for Bitcoin-based exchange-traded products.
Ethereum ETFs had been riding a 20-day inflow streak before momentum reversed on August 1, when $152 million was withdrawn. Still, total inflows for August remain in positive territory at $617 million, and cumulative ETH ETF inflows sit at a healthy $9.02 billion.
With ETF flows historically known for their volatility, investors and analysts alike will be watching closely to see whether this week’s downturn marks a temporary shakeout—or the start of something bigger.
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Source: https://coindoo.com/ethereum-etfs-bleed-465m-as-august-opens-with-a-harsh-correction/