ETF Capital Flow into Ethereum Surpasses Bitcoin

According to data from Farside Investors, Bitcoin spot ETFs in the U.S. recorded inflows of only $72.3 million in the past trading week, the lowest level since mid-April and far from the $2.7 billion and $2.38 billion seen in the previous two weeks. While BlackRock’s IBIT fund continues to attract money with $267.9 million, other funds experienced a wave of selling from July 21 to July 23, before returning to buying in the last two days of the weekend.

This trend may indicate that institutional investors are taking profits after Bitcoin reached a new peak near $123,000 in mid-month. Bitcoin’s price is also under pressure from large sell-offs, notably the “80,000 BTC whale” liquidating its entire asset worth $9 billion, accumulated over 14 years, through Galaxy Digital’s OTC division. Investor sentiment has also been affected by transactions involving $150 million in Bitcoin from SpaceX and a wallet containing $468 million after a long period of inactivity.

However, many major companies are still actively accumulating Bitcoin. Notable transactions in the past week include Trump Media ($2 billion), Sequans ($150 million), and Strategy ($740 million).

In contrast, Ethereum spot ETFs continue to show impressive growth, recording positive inflows for 16 consecutive days, reaching $1.84 billion last week, the second-highest figure in history, only behind the $2.18 billion from the previous week. This week also marks one year since Ethereum ETFs began trading. BlackRock’s ETHA fund has become the third-fastest ETF to reach the $10 billion milestone, following only BlackRock and Fidelity’s Bitcoin ETFs.

As of July 26, Ethereum ETFs hold more than 5.12 million ETH, equivalent to $19 billion. Wall Street’s optimism towards Ethereum remains strong, with abundant ETF inflows helping ETH prices quickly recover after mid-week corrections. Public companies continue to accumulate ETH, with BitMine adding $1 billion and SharpLink contributing $258 million to its treasury. Additionally, other players are entering the space, with Ether Machine announcing a $1.5 billion fund to invest in ETH.

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