The final week of June was a bumpy ride for Ethereum exchange-traded products, as they experienced the highest outflow since August 2022.
According to CoinShares’ weekly analysis, investors pulled out $61 million from Ether (ETH) investment products between June 24-29. This brings the total outflows for the past two weeks to $119 million, with June’s total balance standing at $37 million in withdrawn funds. Unfortunately, this slump has made Ether funds the worst-performing asset in terms of net flows for the year so far, with $25 million withdrawn.
Despite the approval of Ether exchange-traded funds (ETFs) by the United States Securities and Exchange Commission (SEC) in May, the cryptocurrency saw its price decline by over 8.7% in June. Analysts expect the eight approved funds to make their debut in the coming weeks. However, the SEC has recently requested that prospective issuers resubmit their S-1 forms by July 8, pushing the ETFs’ launch to mid-July or later. Bitwise predicts that these funds will attract $25 billion by the end of 2025.
Ether’s outflows, totaling $30 million, have had a negative impact on the overall performance of digital asset investment products in the past week. However, unlike previous weeks, most Bitcoin ETF providers saw modest inflows, according to CoinShares.
Grayscale’s Bitcoin fund saw outflows of $153 million over the week, offsetting an overall inflow of $10 million among other issuers. The report suggests that sentiment may be turning, as multi-asset and Bitcoin ETPs led the inflows with $18 million and $10 million respectively. Short-bitcoin also experienced outflows of $4.2 million.
Trading volumes increased by 43% week-on-week to $6.2 billion as of June 29. However, this is still “well below” the weekly average of $14.2 billion for the year so far, according to CoinShares. Among altcoins, Solana funds saw inflows of $1.6 million, while Litecoin attracted $1.4 million over the period.
In total, $545 million has been withdrawn from blockchain equities this year, accounting for 19% of market capitalization.
Magazine: VanEck has filed for a Solana ETF and Ether supply continues to grow. These and more are covered in Hodler’s Digest from June 23-29.