Ethereum ETFs Surpass Bitcoin in Daily Inflows

TLDR

• Ethereum ETFs recorded $444 million to $455 million in inflows.
• BlackRock’s ETHA ETF alone attracted $314.9 million in inflows.
• Ethereum’s price reached its highest levels since 2021.

Ethereum’s spot exchange-traded funds (ETFs) experienced a significant surge in daily inflows, recording between $444 million and $455 million from August 26–27, 2025. This marks the second time in a week that Ethereum ETFs have surpassed Bitcoin ETFs in daily inflows, indicating a shift in institutional investment preferences.

Two major players in this trend are BlackRock and Fidelity. BlackRock’s ETHA spot ETF alone saw daily inflows of $314.9 million, while Fidelity’s FETH ETF attracted $87.4 million. As a result, Ethereum ETFs currently manage nearly $29 billion in assets and have accumulated over $13 billion in inflows, representing more than 8.9% of all circulating Ethereum held by institutions through ETFs.

Institutional Players Shift Focus to Ethereum

The movement towards Ethereum ETFs is largely driven by institutional investors reallocating their capital from Bitcoin ETFs. Notable institutions include BlackRock and Fidelity, which are among the largest asset managers globally and have been pioneers in integrating cryptocurrency ETF products for institutional and retail investors.

In addition to these funds, BitMine, a major participant in the crypto market, has also been accumulating Ethereum. The U.S. Securities and Exchange Commission (SEC) has played a role by authorizing spot Ethereum ETFs, thereby boosting market confidence.

Impact on Ethereum and Other Cryptocurrencies

Ethereum has directly benefited from these institutional inflows. The price of Ethereum has reached its highest levels since 2021, partly due to staking yields that range from 4% to 6%, attracting further institutional capital. Conversely, Bitcoin ETFs have seen an outflow of $1.18 billion within the same period, resulting in an 11% price drop.

While there is no explicit data on related altcoins, the overall altcoin market has gained positive sentiment. This change in sentiment aligns with the SEC’s decision to drop the Ripple case, which positively influenced the market’s risk appetite.

On-Chain Data Signals Rising Demand

Although specific total value locked (TVL) figures were not provided, the sustained inflows to Ethereum ETFs suggest increasing on-chain demand for Ethereum, particularly for staking. As institutions sequester more Ethereum in ETF structures, the amount of Ethereum held on exchanges has decreased.

This shift could also lead to increased capital rotation and TVL in decentralized finance (DeFi) protocols, as Ethereum becomes a preferred collateral asset due to lower perceived regulatory risk and potentially higher staking returns.

Regulatory Backdrop Encourages Ethereum Adoption

The regulatory landscape has played a crucial role in bolstering Ethereum’s attractiveness to institutional investors. The SEC’s decision to authorize spot Ethereum ETFs and drop high-profile lawsuits has contributed to the broader market’s confidence and sparked a shift toward a more Ethereum-centric investment strategy.

While there are no direct quotes from key opinion leaders, platforms such as Coinglass and Fidelity provide public reports on market flows, indicating high transparency at the fund level.

Past Market Movements and Their Influence

Similar market movements have occurred in the past. For example, early 2024 saw Bitcoin ETFs reach record inflows during their initial launch. However, this was accompanied by higher volatility and shorter periods of sustained demand. More recently, in July 2025, Ethereum ETFs set a record with $2.12 billion in weekly inflows, a benchmark that has now been exceeded.

Previously, such transitions have often led to a repricing of Ethereum and other altcoins as institutional capital introduces new liquidity and stability. For ongoing updates, the latest news sections from financial platforms provide current data on these market shifts.