US Ethereum ETFs hit a new low in net income
On Thursday, Ethereum (ETH) exchange-traded funds (ETFs) recorded their lowest daily gains since their July 23 launch.
The nine US funds brought in a total of $26 million that day. Although modest, this represents the third inflow of ETH ETFs since their launch ten days ago.
Interest in spot ETH ETF
When these funds went live on July 23, they saw net inflows of $107 million and over $1 billion in trades. However, the hype surrounding the EFAs lasted only one day as they were pulled out over the next four days.
Daily net outflows from the spot ETF totaled $653 million between July 24 and 29, according to data from Soso Value. Daily trading also declined during that period, down 22% over a four-day time frame.
While the overall trend points to waning enthusiasm, there are significant differences among Ether ETF providers. For example, Greyscale's Ethereum Trust (ETHE) bucked the trend yesterday with a total of $78 million in cash flow.
In contrast, BlackRock's iShares Ethereum Trust ( ETHA ) attracted $90 million in inflows during the review period.
Read more: Ethereum ETF explained: what it is and how it works
On Thursday, other funds including Fidelity Ethereum Fund (FETH) and Bitwise Ethereum ETF (ETHW) saw $12 million and $3 million respectively.
ETH Price Prediction: Lean Demand for Leading Altcoin
At press time, ETH is trading at $3,140. The leading altcoin started a new bearish cycle on July 22 and formed a descending triangle thereafter. This bearish trend occurs when the price of an asset forms a low high and a horizontal support level. Traders interpret it as a sign that selling pressure is increasing.
ETH's declining Accumulation/Distribution (A/D) line confirms increased selling activity. Since July 22, the price of the indicator has decreased by 6%.
An asset's A/D line measures the flow of cash into and out of the asset over a period of time. When it decreases in this way, it indicates that liquid is flowing out of the property, which indicates diffusion.
Additionally, ETH is currently suffering from significant bearish sentiments. This is indicated by the negative Elder-Ray index. At press time, the indicator value is -198.1.
This indicator measures the relationship between the strength of buyers and sellers in the market. When the value is below zero, it means bear power is dominant in the market.
If the bias continues, the price of ETH could drop to $3,114. If it breaks below the horizontal support line of the descending triangle ($3,085), the price may drop to $2,811.
Read more: Ethereum (ETH) Price Prediction 2024/2025/2030
However, if sentiment turns bullish and the stock climbs, ETH may break above the triangle to exchange hands at $3,301.
Disclaimer
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