Ethereum ETFs See Continued Asset Losses amid Market Challenges
spot Ethereum (ETH) exchange-traded funds (ETFs) have been losing assets for seven straight weeks. According to SoSoValue data, these ETFs saw a net outflow of $82.4 million last week.This brings their total inflows to $2.2 billion. Currently, all ETH ETFs hold $5.25 billion in assets.
BlackRock’s ETHA and Grayscale’s ETHE lead with $1.85 billion each. Grayscale’s ETH mini fund has $711 million,while Fidelity’s FETH holds $580 million. In comparison, spot Bitcoin ETFs are performing better, with total assets at $93 billion despite over $35 billion in outflows.
Ethereum ETFs are losing assets due to ETH’s poor performance. The price has dropped by nearly 62% from its November 2022 high to the current $1,655.Unlike Bitcoin, which hit a new all-time high this year, Ethereum remains substantially below its peak of $4,872.
Investing $1,000 in Ethereum in 2022 would now be worth $745, compared to $1,400 for bitcoin. Ethereum faces competition from layer-1 and layer-2 networks like Solana, Base, Tron, and Arbitrum. This has made it less profitable than other chains.
The ETH/BTC price chart shows a strong downtrend, moving from 0.088 in 2021 to 0.0188 today.The pair is much lower than all moving averages, and the average Directional Index (ADX) has surged to 44. This suggests the pair may continue to fall, targeting the key support at 0.016.
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