Ethereum ETF Biggest Daily Inflow Powered by Fidelity, BlackRock

Ethereum (ETH), the only altcoin with a spot ETF product, has experienced market volatility in the ongoing bull market cycle. Within the last 24 hours, ETH price has fluctuated between a high of $3,438.80 and a low of $3,235.88.

As of this writing, data shows ETH exchanging hands for $3,240.90. The outlook is reflected in its underlying spot ETF market.

Institutional Inflows Ethereum ETF Signal Growing Interest

Despite the market volatility, Ethereum’s ETF products have recorded their fourth consecutive day of positive inflows. Farside Investors data show that BlackRock’s ETHA and Fidelity’s FETH have consistently contributed to the ETF products staying on the green side of the flow.

– Advertisement –

Ethereum ETF products had an inflow of $295.5 million on November 11. Only four offerings contributed to the figures. Fidelity’s FETH led the inflows with $115.5 million. BlackRock’s ETHA, Bitwise’s ETHW, and Grayscale Mini Trust’s ETH had $101.1 million, $15.6 million, and $63 million, respectively.

Interestingly, other asset managers had zero flows. In the last five days, no asset manager, including Grayscale’s ETHE, has experienced outflows. This suggests increased institutional interest in the Ethereum ETF product in recent days.

Eric Balchunas, Senior Bloomberg ETF Analyst, noted that Ethereum’s ETFs had good flows and were trending in the right direction. He stated that the performance places ETH above its Year-to-Date (YTD) number. According to Balchunas, although the altcoin remains miles behind Bitcoin ETF products, the future generally looks bright.

– Advertisement –

ETH Price Movements Reflect Market Resilience

In the broader crypto market, Ethereum saw notable price moves this week. ETH crossed the $3,000 and $3,120 resistance levels to give investors hope for an upcoming rally. The altcoin moved above $3,350 levels before a brief pullback that saw it crash to $3,265. However, it rebounded to $3,314 and continued its sideways movement.

Ethereum trades above $3,220 despite the price fluctuations and its 100-Simple Moving Average (SMA). Additionally, analysts say a bullish trend line is forming close to the 50% Fib retracement level. This appeared on the upward wave between the low of $3,080 and the high of $3,390, respectively.

Overall, Ethereum’s price appears to have built a strong resistance against $3,400. Although the coin briefly breached it to a high of $3,438, it quickly dipped below the $3,400 level and has not tested it again. Instead, ETH has once more embarked on downward fluctuations.

Speculation Grows Around Potential ETH Upgrade

Meanwhile, rumors of an upcoming Ethereum upgrade might shake things up for the ecosystem. While Ethereum’s proposed update started as a rumor, Justin Drake has now confirmed it. The plan will introduce changes to the blockchain’s scalability and overall performance.

The talks also hinge on a merger that would shift Ethereum to a faster and more advanced consensus mechanism. This upgrade, hypothetically referred to as Ethereum 3.0, could see the chain achieve more transactions per second. It may also eliminate the need for rollups, with the only limitation being internet bandwidth.

If the Ethereum developers officially endorse this, market trend observers predict the hype surrounding the planned upgrade might trigger a long-term price rally.

The coming days might reveal whether the rumored update has any substance. However, in the meantime, Ethereum developers have launched the Mekong testnet for the upcoming Pectra upgrade, which will roll out in 2025.