Ethereum ETFs hit a record $717M in daily inflows, pushing ETH past $3,400, driven by strong institutional demand and BlackRock’s $489M lead.
On Wednesday, the US spot Ethereum exchange-traded funds (ETFs) experienced a historic daily net inflow of $726 million, indicating that institutional interest in Ethereum is strong as the altcoin market continues to grow. The investment vehicles obliterated the previous record of $428 million, which was established on December 5, 2024, as ETH surged to levels not observed since January of this year.
BlackRock is the primary source of ETF inflows
BlackRock’s ETHA was the most active, attracting $499 million in inflows, according to SoSoValue. Fidelity’s FETH followed, contributing $113 million. US spot Ether ETFs currently possess over 5 million ETH, accounting for over 4% of Ethereum’s circulating supply.
Since their inception in July 2024, these exchange-traded funds (ETFs) have generated $6.48 billion in net inflows. As investors increasingly seek exposure to ETH amid changing market dynamics, they have attracted $1.8 billion in new capital over the past five trading days alone.
ETH Exceeds $3,400
At the time of writing, the price of ETH is trading at just under $3,400, representing an 8.85% increase in the past 24 hours. The altcoin rally is expected to persist in the coming weeks, as Bitcoin’s dominance declines after reaching the 2020 resistance.
The 20-day and 50-day Exponential Moving Averages at $2,866 and $2,647, respectively, serve as significant support levels for the ETH price trajectory as the cryptocurrency strives to achieve new all-time highs above $5,000, as illustrated in the chart above.
Whales are actively accumulating ETH, despite concerns that the recent price surge may have reduced purchasing opportunities, as on-chain data indicates. Whale “0x52e” recently spent $15.79 million to acquire 4,707 ETH, whale “0x310” acquired 4,413 ETH for $15 million, and whale “0x8af” shopped 2,393 ETH for $8 million.
It is important to note that all three purchases exceeded the $3,340 threshold, implying a high level of long-term confidence in the second-largest cryptocurrency.
Furthermore, whale “0x35fb” recently withdrew an additional 7,980 ETH (equivalent to approximately $26.86 million) from Kraken, indicating that it engages in long-term holding behavior. The most recent transaction has resulted in a total of 88,292 ETH (approximately $298.26 million) being withdrawn from the exchange in the past week.
Following the success of the ETF, ETH corporate treasuries have gained momentum
In the interim, the demand for Ether among corporations is rising, as major public companies allocate substantial amounts of their treasuries to ETH. After adding 10,614 ETH ($35.62 million) the day before, SharpLink Gaming said an additional 10,854 ETH ($34.37 million) to its ETH strategy reserve earlier today. The company currently possesses 307,362 ETH, which is estimated to be worth approximately $1.03 billion.
Over the past month, treasury firms specializing in ETH have acquired approximately 600,000 ETH, which is valued at over $2 billion, when the recent acquisitions are combined. This encompasses BitMine’s acquisitions and GameSquare’s $100 million strategy, among other things.
AB Kuai.Dong, a contributor to Binance Square, recently stated on X that ETH provides a novel narrative for companies seeking to generate market chatter, even though Bitcoin-focused strategies are already oversaturated. The lesser market capitalization of Ether compared to BTC also provides ample opportunity for market imagination and growth.
