BlackRock’s ETH ETF sees $314M inflow as Tom Lee predicts ETH price floor, signaling rising institutional confidence.
$314 million was invested in BlackRock’s Ethereum ETF on August 25.
This information follows Tom Lee’s prediction that the price of ETH would shortly fall to its lowest level.
Ethereum ETF From BlackRock Reports Good Recovery
On August 25, BlackRock’s Ethereum ETF (ETHA) saw a net inflow of 67,899 ETH, according to data from SoSoValue.
The approximate value of this is $314.9 million.
The activity was similarly remarkable, with trading volumes surpassing $2.4 billion in a single day.
Following almost $924 million in outflows from the product overall between August 15 and August 20, the spike represents a reversal.
This included the second-largest daily loss of the month, a vast $429 million exit on August 19.
Other funds had sharp withdrawals during the same period, including Grayscale’s Mini Ethereum ETF (ETH) and Fidelity’s Ethereum ETF (FETH).
BlackRock’s Ethereum ETF, in contrast, only lost $8.3 million last week before recovering well.
With total net assets at $30.58 billion, cumulative inflows across all ETH ETFs since launch have now exceeded $12.43 billion.
Additionally, on August 22, ETH ETFs’ total daily net inflow was 92,900 ETH.
As a result, spot ETF reserves increased to $29.23 billion, or 6.6 million ETH.
Additionally, it represents about 5.45% of Ethereum’s total supply in circulation, highlighting the importance of ETFs in absorbing market liquidity.
With $233.5 million in new inflows, BlackRock’s ETHA led the drive, followed by $28.5 million from Fidelity’s fund.
The average for other issuers was about $6 million.
This suggested that investor sentiment had generally improved.
The Strategic ETH Reserve (SER) tracker indicates that spot Ether ETFs have amassed 6.6 million ETH.
This has around 5.45% of Ethereum’s available supply and is valued at $29.23 billion.
Tom Lee Forecasts ETH Price Bottom
Tom Lee, co-founder of BitMine and head of research at Fundstrat, has forecast that Ethereum may be at or close to its price floor in light of this newfound interest.
Lee noted that ETH’s price fluctuations could result in greater stability and a potential recovery.
BitMine’s continuous treasury expansion reinforces his optimism.
More than 190,000 ETH ($873 million) was recently added to the company’s reserves.
As a result, it now has 1.71 million Ethereum, which is worth $8.8 billion.
Additionally, BitMine had earlier purchased 28,650 ETH when the price fell.
Lee’s strategy for investing is to purchase at a discount.
This conviction backs up his forecast that the market will experience a brief low.
BlackRock’s Ethereum ETF comeback and Tom Lee’s upbeat prediction highlight the market’s changing story.
After weeks of large withdrawals, inflows show that institutional traders are starting to feel more confident.
As ETF inflows increase, Ethereum may be on the verge of entering a new stabilizing period if Lee’s prediction comes to pass.
