Ethereum ETFs record the second-largest daily outflow since launch
On September 5, Ethereum-linked exchange-traded funds faced massive withdrawals: investors pulled out over $444 million in a single day.
This marks the second-largest capital outflow since the launch of Ethereum ETFs in July 2024, highlighting a significant decline in interest in ETH investments.
Massive capital outflows from Ethereum ETFs
According to SoSo Value, the biggest loser was BlackRock’s ETHA fund — $307.68 million, or nearly 70% of the daily outflow.
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Grayscale funds lost over $80 million,
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Fidelity’s FETH — $37.77 million,
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21Shares’ CETH — $14.68 million.
Thus, September 5 marked the fifth consecutive day of outflows from Ethereum ETFs. Over this period, the cumulative withdrawal exceeded $952 million — the largest weekly loss for the nine funds since their inception.
Pressure from derivatives
Analysts note that the sell-offs are linked to profit-taking and caution amid market volatility. Additional pressure comes from the derivatives market.
According to CryptoQuant, ETH futures sellers outpaced buyers by $570 million, sharply shifting the trade balance toward selling. Historically, such spikes in activity have coincided with local market tops, when traders preferred to hedge against potential declines.
Long-term outlook remains favorable
Despite short-term fluctuations, Ethereum supporters remain confident in its future. Project co-founder Joseph Lubin stated that ETH’s potential is “significantly undervalued” and that the asset could increase 100-fold, surpassing Bitcoin’s monetary base.
In his view, Wall Street financial institutions will eventually use Ethereum in key operations — from validator deployment and staking to replacing outdated banking systems.
Lubin reminded that JPMorgan had been experimenting with Ethereum years ago. This experience, he said, will ease integration once decentralized infrastructure becomes the industry standard.
See also: "Stablecoins strengthen their role as a key driver of liquidity growth in the crypto economy"
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