Ethereum exchange-traded funds (ETFs) are seeing renewed institutional interest, with nine consecutive trading sessions of positive inflows. Leading the surge is BlackRock’s ETHA, which has now amassed over $4.5 billion in total inflows. On Thursday alone, ETHA attracted $50.4 million, while Fidelity’s FETH followed with $38.3 million, according to Farside Investors.
Despite this influx of capital, the average investor remains underwater. Glassnode reports the cost basis for ETHA and FETH investors stands at $3,300 and $3,500 respectively—significantly higher than Ethereum’s current trading price of $2,616. This positions most ETF participants at a loss of roughly 21%.
Negative ETF flows for Bitcoin.
— Crypto Rover (@rovercrc) May 30, 2025
Positive ETF flows for Ethereum.
MONEY IS ROTATING INTO $ETH! 🔥 pic.twitter.com/HZwSjuS5DY
ETH Price Lags Behind Growing ETF Inflows
While the momentum in ETF inflows reflects optimism, Ethereum’s spot price has yet to catch up. ETH has dropped nearly 4% in the last 24 hours and continues to trade below the average cost basis of major ETF products. Notably, each time ETH has dipped below these levels—particularly in August 2024 and January and March 2025—net outflows have accelerated, signaling waning investor confidence during downturns.
Interestingly, spot Bitcoin ETFs saw negative flows on Thursday, raising the possibility of capital rotation. Crypto analyst Crypto Rover suggested that institutional capital may be moving from BTC to ETH in anticipation of a future price rebound.
ETF Trading Volume Contribution Still Minimal
Despite growing inflows, Glassnode warns the impact of Ethereum ETFs on the spot market remains negligible. At launch, these ETFs contributed only about 1.5% to Ethereum’s total spot market volume. Although this briefly rose to over 2.5% in November 2024, it has since declined back to 1.5% in 2025.
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“The limited volume means these ETFs are not currently a major driver of price,” Glassnode stated, reinforcing that broader market forces and macroeconomic conditions—such as renewed US-China trade tensions—continue to overshadow ETF-driven demand.
While ETF inflows are a bullish signal for Ethereum’s long-term institutional adoption, their current influence on spot prices remains limited. Until the market sees higher participation and broader investor profitability, ETH’s price recovery may remain subdued despite the inflow surge.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses
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