During the trading session on July 24, 2024 (US time), ETF investment products for the two cryptocurrencies Bitcoin and Ethereum showed opposite results compared to the previous day.

Ethereum ETF has its first outflow date

After an impressive first trading day, Ethereum spot ETFs had their first taste of outflow, recording $133.3 million in outflows in the trading session on July 24.

Specifically, Fidelity's FETH fund leads with the largest inflow of up to 74.5 million USD. Following behind is Bitwise's ETHW with 29.6 million USD and VanEck's ETHV with 19.8 million USD. The ETHA fund of the world's largest asset management company BlackRock also recorded stable inflow at 17.4 million USD.

Invesco and Franklin's Ethereum spot ETFs both saw low inflows, with only the CETH fund seeing no inflows.

However, the single outflow from Grayscale's ETHE fund amounted to 326.9 million USD, overwhelming the entire intraday inflow of 7 other funds.

The high outflow of Grayscale's ETHE could be due to investors switching to other funds with lower management fees as Grayscale's ETHE fund has an annual management fee of up to 2.5%, the remaining funds continue to compete on fees as they all offer very low fees from 0.15-0.25%, as well as incentives for an initial free period of 6 to 12 months. Besides, Grayscale's ETHE fund is still the Ethereum ETF with the most assets with total assets of up to 8.6 billion USD, because this is a fund converted from the company's previous investment product. The strong withdrawal of ETHE fund could be due to investors readjusting their investment portfolios, transferring capital to other funds or assets that are safer or have higher profit potential.

Besides, Ethereum spot ETFs also accumulated a trading volume of 951 million USD. Grayscale's ETHE fund continues to lead with a volume of about $492 million, accounting for about 52% of the total volume. BlackRock's ETHA and Fidelity's FETH saw trading volumes of $256 million and $113 million, respectively.

ETH price has dropped nearly 8% from 3,350 USD to 3,150 USD following the profit-taking mentality of investors when the Ethereum ETF officially launched. Currently, ETH price is fluctuating around 3,180 USD.

Bitcoin ETF attracts inflows again

In another development, the ETF funds for the world's largest cryptocurrency, after breaking a streak of 12 consecutive days of inflow, have regained their "form", attracting inflow to return, despite fear. of investors caused Kraken to allocate 3 billion USD of Bitcoin to creditors Mt. Gox, causing the cryptocurrency market to witness a correction on the morning of July 25 (Vietnam time).

Specifically, Grayscale's GBTC has an outflow of only 26.2 million USD and the majority of the buying cash flow comes from BlackRock's IBIT fund with 66 million USD inflow. This was followed by ARK Invest's ARKB and Fidelity's FBTC funds with 3.3 and 1.4 million USD inflow, respectively. The remaining funds did not witness net cash flows in the trading session on July 24.

In total, Bitcoin ETFs had a trading day with a net inflow of $44.5 million.

Founding partner at venture capital firm Stratos Rennick Palley suggested that there is a shift from a Bitcoin ETF to an Ethereum ETF when he stated: “Investors are increasingly interested in diversifying across assets. cryptocurrency as an ETF" could also be the reason why cash flows were concentrated in only 4 funds in the trading platform on July 24 when all attention was focused on the Ethereum ETF.

After a major correction on the morning of July 25, Bitcoin price has dropped more than 2% in the past 24 hours and at the time of writing Bitcoin is trading at $64,190.