The sharp reversal coincided with ETH’s weekend price drop to $3,380, though the altcoin has since rebounded. BlackRock’s ETHA led the outflows, followed by funds from Fidelity and Grayscale. Despite this turbulence, on-chain data shows that there is still institutional confidence, with over $3.1 billion in ETH accumulated by whales and institutions since early July.
Ethereum ETFs Bleed
United States spot Ethereum exchange-traded funds (ETFs) experienced a huge shift on Monday after recording nearly half a billion dollars in daily net outflows. This was their largest since they were launched.
According to data from Farside Investors, the outflows totaled $465 million, and it followed an earlier outflow of $152 million on Friday, which ended a 20-day streak of consistent inflows. This reversal happened after a particularly strong July, during which Ethereum ETFs saw a record $5.43 billion in net inflows.
The price of Ethereum (ETH) fell sharply over the weekend to reach a low of $3,380 on Sunday, down 12% from its Thursday high of $3,858. However, it showed some signs of recovery by Tuesday. At press time, the altcoin was trading hands at $3,670 after its price managed to climb by just over 3% throughout the past 24 hours.
ETH’s price action over the past week (Source: CoinMarketCap)
Among the ETF providers, BlackRock’s iShares Ethereum Trust (ETHA) saw the worst outflows, with close to $375 million leaving the fund on Monday. Despite this, ETHA still holds a cumulative net inflow of $9.3 billion and maintains net assets of $10.7 billion. Fidelity’s Ethereum Fund (FETH) followed with $55.11 million in outflows, but it is still positive overall, with $2.2 billion in cumulative inflows and $2.4 billion in net assets.
Grayscale also experienced outflows. The Grayscale Ethereum Mini Trust saw $28 million in net outflows, while the Grayscale Ethereum Trust (ETHE) shed $6.9 million. Grayscale’s ETHE fund currently holds $4.1 billion in net assets but has faced cumulative outflows of $4.3 billion.
ETH ETF flows (Source: Farside Investors)
Despite these ETF outflows, on-chain activity indicates that large investors are still quite confident in Ethereum’s long-term prospects. Blockchain analytics firm Lookonchain reported that three wallets, believed to belong to whales or institutions, purchased a combined 63,837 ETH—worth approximately $236 million—through over-the-counter transactions with FalconX and Galaxy Digital.
Since July 9, Lookonchain tracked 14 new wallets that together accumulated more than 856,000 ETH, valued at over $3.1 billion. This means that institutional interest in Ethereum is very strong despite the current ETF turbulence.
