Key Insights
- Ethereum ETFs have seen explosive growth lately, with nearly $10 billion monthly inflows.
- BlackRock’s ETHA has now risen to rank fourth among all ETFs by 30-day inflows.
- Through it all, ETH traders continue to be bullish and are eyeing a move toward $5,000.
Ethereum ETF inflows are having a breakout moment at the time of writing. Institutional investors are jumping in by the dozens, and companies are increasingly adding ETH to their treasuries.
While all this has happened, spot Ethereum ETF inflows have risen. Also, the buzz around Ethereum ETFs continues to get louder..
Ethereum ETF Inflows Near $10 Billion Milestone
Ethereum ETF inflows have skyrocketed in July of this year. According to data from Farside Investors, spot Ethereum ETFs pulled in $9.3 billion by July 25. This is more than double the $4.2 billion seen at the beginning of the month.
In addition, these ETFs have recorded positive inflows for 16 straight trading days. For some context, this would mean that they have raked in $233 million daily on average.
In addition, if the trend holds, inflows could break past $10 billion before the month ends. This kind of strength is rare in crypto markets, and shows that institutional investors are not only strong. However, it will likely continue beating retail hype over the long term.
BlackRock’s ETHA ETF Takes the Scene
BlackRock’s ETHA is leading the Ethereum ETF space so far. This offering accounts for 91% of total monthly inflows, with $3.9 billion over the past 30 days. ETHA is now the fourth-largest ETF in the U.S. by inflows.
According to Bloomberg ETF analyst Eric Balchunas, the ETHA even cracked the top 0.4% of most-traded ETFs. On July 28 alone, ETHA recorded $1.35 billion in daily trading volume, based on CoinMarketCap data.
BlackRock’s influence in the traditional finance world is giving ETH ETFs credibility. They need this credibility to bring more institutions into the Ethereum space.
Ethereum Price Holds Steady Despite Pullback
Ethereum’s price has slightly pulled back from its recent high of $3,940, now at around $3,863. Despite the dip, there’s no sign of panic in the derivatives markets. Futures and options data indicate that ETH could still climb to $5,000.
Keep in mind that the three-month futures premium currently stands at 8%. This is its highest in five months. That is a bullish signal, meaning traders haven’t maxed out on leverage yet.
In layman’s terms, there is still room for ETH to trek further upwards if the bulls can restart the engines. Options markets also show a great deal of balance in terms of sentiment.
For example, the delta skew, which measures hedging behavior, stabilized after showing 8% optimism a week ago. While things have cooled down slightly, there’s no indication that large traders expect a downturn.
Ethereum ETFs Drive Corporate and Institutional Buying
Ethereum ETF growth is being fueled by more than just traders. Over 40 companies now hold at least 1,000 ETH, worth around $3.8 million each.
That includes firms like Bitmine Immersion Tech, SharpLink Gaming, and The Ether Machine. Corporate Ethereum holdings now stand at more than $9 billion.
For context, only eight companies (excluding Strategy and major Bitcoin miners) hold more than $1 billion worth of Bitcoin. This difference shows that Ethereum is catching up quickly and is being taken seriously as a treasury reserve asset.
Can Ethereum Reach $5,000?
ETH has been attempting to cross the $4,000 zone for a while now. Many traders are wondering: Is $5,000 next? So far, market data supports the possibility. Futures premiums are still sky-high, and corporate buying is strong.
Even better, ETF inflows haven’t slowed down. If ETH can break above $4,000 with substantial volume, a push toward $5,000 could happen quickly.
That said, macro risks like the U.S.’ trade talks with China are still in a gray area. If a breakdown in those negotiations occurs, it could hurt financial markets and crypto.