Spot Ethereum ETFs Outshine Bitcoin with $240M Daily Flow

Spot Ethereum ETFs have outpaced their Bitcoin counterparts, raking in $240 million in net daily inflows on Wednesday, June 11.

This figure eclipsed the $164 million flowing into BTC ETFs, marking the first time Ethereum products have led daily inflows since the launch of U.S. spot crypto ETFs 18 months ago.

Ethereum Breaks Through

The shift, hailed by analysts and echoed across social media, is seen by some as a potential turning point in institutional crypto adoption, fueled by unique catalysts driving capital towards the second-largest digital asset.

“As far as I can remember, this is the first time this has happened,” noted prominent crypto commentator CryptoMe in a post on X, highlighting the historic nature of the flows.

Data compiled by SoSoValue shows a consistent trend building over recent weeks. Ethereum ETFs have now enjoyed 18 consecutive days of net inflows, culminating in the near-record $240.29 million haul. The crypto-linked investment products now boast $3.74 billion in cumulative net inflows, $830.98 million in total daily trading volume, and $11.05 billion in net assets, making up roughly 3.25% of Ethereum’s market cap.

The top performer, BlackRock’s ETHA, contributed just over $163 million on June 11 alone and leads all Ethereum ETFs with $5.13 billion in cumulative inflows.

In comparison, while still dominant in absolute terms, spot BTC ETFs appear to be facing diminishing momentum. Despite some $45 billion in cumulative inflows and almost $132 billion in assets under management (AUM), net inflows have softened over the past week. After a mid-week rally on June 10, where the ETFs brought in $431.12 million, flows tapered off, dropping to $164.57 million on June 11.

Even BlackRock’s flagship IBIT, which recently shattered records by becoming the fastest ETF in history to surpass $70 billion in AUM, is now experiencing moderated daily volumes, down to $1.89 billion yesterday.

Regulatory Clarity, DeFi Potential Spark Inflows

Market watchers have pointed to a combination of factors to explain Ethereum’s sudden surge in the spot ETF space. These include optimism in the decentralized finance (DeFi) sector following recent remarks by U.S. Securities and Exchange Commission (SEC) Chair Paul Atkins directing the agency to explore rule amendments to accommodate on-chain financial systems.

Other key drivers include a perception of ETH as an undervalued asset as well as institutional spillover from Bitcoin ETFs. Regulatory clarity, particularly regarding Ethereum’s classification, appears to be easing institutional hesitancy.

Furthermore, ETH’s stronger recent price performance, up 5.4% over the past week compared to BTC’s 2.9% gain, and 12% over the last month versus the king cryptocurrency’s 4.9%, is reinforcing the undervaluation narrative, especially with Bitcoin trading just 3.8% below its recent all-time high while Ethereum remains 43.5% below its peak.