Spot Ethereum ETFs Achieve Record $2.08 Billion Net Inflows in December
U.S. spot Ethereum exchange-traded funds (ETFs) posted a record-breaking $2.08 billion in net inflows in December, nearly doubling November’s inflows of just over $1 billion. This surge highlights growing investor demand for ether-backed financial products, according to SoSoValue data.
BlackRock’s ETHA Leads December Inflows
BlackRock’s ETHA fund spearheaded the growth, attracting $1.4 billion in net inflows, including 13 consecutive days of positive contributions. Fidelity’s FETH fund followed closely, securing $752 million in inflows.
However, not all funds experienced growth. Grayscale’s ETHE fund recorded $274 million in net outflows during the same period.
Cumulative net inflows for Ethereum ETFs surpassed $2.6 billion, while total net assets reached $12.12 billion, accounting for over 3% of Ethereum’s market capitalization.
Ethereum Price Rally Supports ETF Growth
December’s inflows coincided with a mid-month rally in Ethereum prices, briefly pushing ETH above $4,000 before retreating to around $3,500. As of now, Ethereum trades at $3,409, reflecting a 2.23% increase in the last 24 hours.
Bitcoin ETFs Maintain Dominance Despite Slowdown
While Ethereum ETFs saw impressive growth, spot Bitcoin ETFs recorded $4.5 billion in net inflows during December. This figure, however, was lower than November’s record-breaking $6.4 billion inflows.
Bitcoin hit an all-time high of $108,135 on December 17, before pulling back to $95,556 by month-end.
On December 31, Bitcoin ETFs posted $5.32 million in net inflows, ending a two-day outflow streak that saw $723 million exit the funds.
Fidelity’s FBTC led with $36.81 million in inflows, followed by Bitwise’s BITB with $8.68 million and Grayscale Bitcoin Mini Trust with $4.14 million. These gains were partially offset by outflows from BlackRock’s IBIT ($23.45 million), ARK 21Shares’ ARKB ($11.23 million), and Grayscale’s GBTC ($9.63 million).
One of the more ridiculous charts you’ll ever see…
— Nate Geraci (@NateGeraci) December 28, 2024
Assets in spot gold ETFs vs bitcoin ETFs.
Gold ETFs launched in 2004.
Bitcoin ETFs in 2024.
via @glxyresearch pic.twitter.com/eJo7Db9kb3
Ethereum ETFs Rebound After Outflows
Ethereum ETFs demonstrated resilience, recording $35.93 million in net inflows on the last trading day of the year following $55.41 million in outflows the previous day.
Fidelity’s FETH led inflows with $31.77 million, followed by Grayscale Ethereum Mini Trust, which added $9.77 million. Grayscale’s ETHE partially offset gains with $5.61 million in outflows, while other Ether ETFs reported no activity.
Bitcoin ETFs Dominate 2024 With $35 Billion in Net Inflows
Spot Bitcoin ETFs in the U.S. recorded a staggering $35.66 billion in net inflows in 2024, far exceeding early projections.
BlackRock’s IBIT led the market with $37.31 billion in inflows, followed by Fidelity’s FBTC with $11.84 billion and ARK’s ARKB with $2.49 billion. Bitwise’s BITB also contributed $2.19 billion to the total.
Despite these gains, Bitcoin ETFs experienced $1.33 billion in outflows since December 19, reflecting broader market fluctuations.
Ethereum ETF Leaders in 2024
BlackRock’s ETHA and Fidelity’s FETH dominated Ethereum ETF inflows, securing $3.52 billion and $1.56 billion, respectively.
Grayscale’s low-fee Ethereum Mini Trust (ETH) attracted $608.1 million, while Bitwise’s Ethereum ETF (ETHW) crossed $400 million in inflows.
Key Takeaways for Investors
The record-breaking performance of Ethereum ETFs in December highlights growing institutional interest in ETH-backed products, signaling increased mainstream adoption. While Bitcoin ETFs continue to dominate, Ethereum’s strong inflows underscore its potential to capture a larger share of the market.
With cryptocurrency markets remaining highly dynamic, investors should closely monitor regulatory developments, price trends, and fund performance to make informed decisions in the evolving landscape of crypto-backed financial instruments.
