U.S.-listed ether exchange-traded funds recorded their first-ever single-day inflows above $1 billion on Monday as ether (ETH) surged to its highest price in more than three and a half years.
Combined inflows into the nine U.S. ETH ETFs comfortably eclipsed the previous daily record of about $727 million. BlackRock’s ETF led the day with roughly $640 million in new money, while Fidelity’s product took in about $276.9 million. Since their launches, the funds have attracted approximately $10.83 billion in cumulative inflows and now hold about $25.71 billion in assets, equivalent to roughly 4.8% of ether’s market capitalization.
Ether traded as high as $4,358 on Monday, its strongest level since December 2021. Market momentum was supported by two main catalysts: growing expectations that the Federal Reserve will begin cutting interest rates later this year (market pricing showed a high probability of a 25 basis-point cut in September) and reduced regulatory uncertainty after U.S. regulators dropped litigation against a prominent crypto developer, which lifted sentiment across altcoins.
Why this matters
– ETFs provide an accessible, regulated route for institutional and retail investors to gain Ethereum exposure through traditional brokerages, increasing demand and potential price support.
– The ETFs’ combined holdings — nearly 5% of ether’s market cap — mean inflows can have a meaningful effect on price and liquidity dynamics.
– Macro tailwinds (e.g., anticipated rate cuts) typically boost demand for higher-risk assets, amplifying flows into crypto products.
Additional commentary and context
– Continued large inflows could further increase institutional exposure to ether, potentially reducing the correlation between on-chain supply/demand and exchange-traded flows.
– While ETFs may help stabilize some investor behaviour, markets remain sensitive to macro announcements and regulatory developments; volatility can persist.
– Watch metrics that will matter going forward: daily ETF flows, ETF assets under management, futures open interest, and any new regulatory actions or guidance from U.S. authorities.
Short summary
U.S. ether ETFs recorded a record single-day inflow above $1 billion as ETH climbed to $4,358. Strong contributions from major ETFs pushed cumulative inflows past $10.8 billion and assets to $25.7 billion, about 4.8% of ether’s market cap. Rate-cut expectations and eased regulatory uncertainty helped lift the market.
Hopeful angle
The surge in ETF inflows and higher ether prices reflect growing institutional acceptance and clearer regulatory signals — developments that could help crypto mature into a more mainstream investable asset over time, bringing broader market participation and deeper liquidity.