On the third day of Spot Ether ETF, we saw a net outflow of $152.4 million. Grayscale’s ETHE led the charge. It was able to absorb the overall flow and bring the number down to negative. Individual net outflows were around $346.2 million. The total net outflow now stands at $179.1 million. As of July 24, 2024, the first day saw a net inflow of $106.6 million, followed by an outflow of $133.3 million.
Interestingly, Grayscale’s ETHE has been experiencing significant bank outflows since its inception. This has made it stand out on the list, as other issuers have only registered net inflows. BlackRock’s ETHA, for example, booked a net inflow of $266.5 million on the first day and $17.4 million on the second day. VanEck is the next exception on the list but in terms of a higher net inflow.
ETHV recorded a net inflow of $7.6 million on the first day and $19.8 million on July 24, 2024.
On the third trading day, Thursday, Ether ETF’s trading volume was $850 million.
It is unclear how long ETHE’s selling pressure lasts in the market. Nevertheless, there is speculation that the Spot Ether ETF can match the level of the Spot Bitcoin ETF within the first 18 months of trading.
Despite this, the community remains divided over why the approval of the Spot Ether ETF has not significantly impacted the value of the ETH token. It dropped by 7% ahead of Thursday’s trading session. Analysts believe that it is natural for the market to behave this way as the excitement around the regulated crypto investment vehicle cools down.
Another factor that is forcing the ETF to take time to back Ether is a lack of discussion about staking the token. The SEC is less interested, leaving the community wondering if the ongoing elections could fetch better results once they are concluded. Additionally, the Ether ETF may experience a decline due to the general decline in the US stock market.
Nate Geraci of the ETF Store stated that staking approval was a matter of when not if. He also noted that numerous legislators are currently inclined to support crypto.
Juan Leon, the investment strategist at Bitwise, signaled that the trend aligns with how BTC reacted to the launch of ETP. Juan said that the price was depressed over sell the news and large outflows from GBTC, adding that inflows into other ETPs went up, and the price finally took off.
ETH is currently listed at $3,267.58. That comes after a 2.67% increase in the last 24 hours. It further reflects a drop of 4.97% and 3.58% in the last 7 and 30 days, respectively. Experts predict that Ether will remain stable at $3,300 for the next 30 days. It could go as high as $3,358.53 during that time, representing a 3.93% jump from the current value.