Ethereum spot exchange-traded funds (ETFs) staged a commanding comeback this week, drawing nearly twice the inflows of their Bitcoin counterparts as institutional investors piled into Ether despite choppy markets.
According to data from SoSoValue, U.S. spot Ether ETFs saw a staggering $443.9 million in net inflows on August 25, outpacing Bitcoin ETFs, which brought in $219 million on the same day.
Ethereum ETFs Bounce Back After $240M Outflow, Reach $13B Cumulative Inflows
The surge marks a decisive shift in sentiment after a shaky August that saw both assets whipsawed by volatility.
Ethereum’s performance was particularly notable, with investors flocking back into funds after mid-month outflows that had cast doubt on institutional conviction.
Just five days earlier, on August 20, Ethereum ETFs bled over $240 million, led by steep redemptions from BlackRock’s ETHA and Grayscale’s ETHHE.
But the tide quickly turned, with inflows of $337.7 million on August 22 and an even stronger $443.9 million haul on August 25, the highest daily inflow for Ether ETFs since launch.
BlackRock once again emerged as the dominant player, with its ETHA fund alone attracting $314.9 million in fresh capital on Monday, more than 70% of the day’s Ether ETF flows. Fidelity followed with $87.4 million into its FETH product, cementing its role as the sector’s second powerhouse.
Even Grayscale, which has struggled for months with persistent outflows from its legacy ETHE trust, showed signs of recovery as its newer Spot ETH product drew $53.3 million in inflows.
The strong comeback has lifted total Ethereum ETF assets under management to $28.8 billion, with cumulative inflows climbing to nearly $13 billion since their debut earlier this year.
What makes the momentum more striking is that it came amid sharp price declines, with Ethereum sliding more than 8% during the same session to around $4,420.
Analysts say the disconnect between prices and flows highlights that institutions are treating dips as buying opportunities rather than reasons to retreat.
Bitcoin, by contrast, saw healthy but comparatively muted demand. Fidelity’s FBTC led inflows with $65.5 million, followed closely by BlackRock’s IBIT at $63.3 million and ARK’s ARKB with $61.2 million.
Combined, Bitcoin ETFs added $219 million, showing continued institutional support but falling well short of Ethereum’s showing.
Altogether, U.S. Bitcoin spot ETFs now hold $143.6 billion in assets, with cumulative inflows topping $54 billion.
Institutional Demand for Ether Surges, But Broader Altcoin Rally Stalls
Altcoin investors may have to wait longer for a broad rally, with Bitfinex analysts noting that the next “altseason” is unlikely until new exchange-traded funds expand access beyond Bitcoin and Ether.
In a Monday markets note, the team said they do not expect a “‘rising tide lifts all boats’ environment” until later this year, when inflows into Bitcoin products strengthen and fresh vehicles for altcoins are launched.
“These products are likely to generate sustained, price-agnostic demand, creating conditions for a broader re-rating across the digital asset complex,” the analysts wrote, while cautioning that appetite for risk remains subdued compared to prior cycle highs.
Coinbase Institutional’s David Duong struck a more optimistic tone, suggesting September could usher in a full-scale altcoin season as market conditions shift.
The divide in views comes as the U.S. Securities and Exchange Commission pushes back decisions on several pending ETF applications, including 21Shares and Bitwise’s Solana products, a Core XRP Trust, and a Bitcoin-Ether hybrid fund tied to Truth Social.
Ethereum has already seen substantial treasury accumulation. July recorded the largest monthly jump in corporate ETH holdings on record, rising 127% to 2.7 million ETH worth $11.6 billion.
SER data shows 70 entities now hold a combined 4.3 million ETH, 3.6% of supply, while ETFs control another 6.5 million ETH. Together, nearly 9% of circulating Ether is locked in corporate treasuries and funds, underscoring the growing role of institutional demand.
Fundstrat Analysts Call ETH Bottom, Project Rally Toward $5,100–$5,450
Ethereum may have found its short-term floor after a steep sell-off pushed prices to $4,313 on Tuesday, according to Fundstrat Global Advisors’ Tom Lee.
The managing partner said on X that he expected ETH to bottom “in the next few hours” as his treasury firm BitMine added another $21 million to its holdings.
The call came during a broader market rout triggered by Bitcoin’s drop to a seven-week low, which erased more than $200 billion in crypto market value. Ether has since rebounded, climbing back above $4,430 at the time of writing.
Lee’s forecast echoed his earlier accurate call on August 19, when he predicted ETH would briefly slip to the $4,075–$4,150 range before recovering. BitMine’s accumulation since late June has cemented its status as the largest corporate Ethereum treasury.
Mark Newton, Fundstrat’s head of technical strategy, also struck a bullish tone, describing ETH as “a very good risk/reward here.” He projected a recovery toward $5,100–$5,450 if support near $4,300 holds.
On-chain data shows similar conviction among Binance whales, who have stepped up spot and futures buying since July. Analysts note that whales tend to accumulate after trends are confirmed, and their activity could add momentum toward the $5,000 mark.
Source: Tom Lee
Chart signals also support the case for a bottom, with ETH defending its ascending trendline around $4,300 and trading above bullish Ichimoku cloud formations. Resistance lies near $4,448, with higher targets at $5,376 and $6,290 if the rally extends.
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