Ethereum investment products see $2.2B inflows as U.S. ETFs drive growth
Ethereum investment products see $2.2B inflows as U.S. ETFs drive growth
Global investment products based on Ethereum reached an all-time annual inflow record of $2.2 billion, surpassing the $2 billion peak set in 2021. According to a CoinShares report, the asset witnessed $634 million in net inflows last week alone, with U.S. spot Ethereum exchange-traded funds (ETFs) contributing $466.5 million.
This significant growth comes amid heightened optimism following the U.S. election and potential regulatory easing under the incoming administration.
For the first time, Ethereum funds outperformed Bitcoin counterparts at these levels, with analysts attributing the shift to attractive risk-reward dynamics. Spot Ethereum ETFs have drawn over $1.1 billion in net inflows since November, overcoming early challenges such as outflows from Grayscale’s converted fund. As of Friday, Ethereum ETFs registered $332.9 million in inflows, outpacing Bitcoin ETFs at $320 million.
Analysts from Bernstein highlighted the "likely approval" of staking yields on Ethereum ETFs as a key driver, bolstering investor confidence in the asset. Ethereum’s strong performance, including a 47.15% monthly gain, has brought it near its all-time high of $4,095.
Indicators of a broader market shift
Ethereum’s record-breaking inflows coincide with a 72% rise in the global cryptocurrency market cap since the U.S. election, now standing at $3.43 trillion. This growth outpaces Bitcoin and Ethereum’s individual gains, signaling potential early stages of an “alt-season,” as noted by BRN analyst Valentin Fournier.
The continued momentum in Ethereum inflows highlights growing institutional adoption and renewed investor interest. As regulatory clarity emerges and the broader crypto market expands, Ethereum’s position as a leading asset could see further consolidation in the months ahead.
