Ethereum ETFs Leave Bitcoin in the Dust

Ethereum exchange-traded funds (ETFs) have outperformed their Bitcoin counterparts for six consecutive weeks, highlighting a shifting preference among investors.

Fresh data shows ETH products are drawing steadier inflows even as Bitcoin ETFs continue to command the lion’s share of assets under management.

Weekly Data Highlights Ethereum’s Edge

According to data from SoSoValue, as of August 27, cumulative inflows into U.S. spot Bitcoin ETFs stood at $54.19 billion, with $144.57 billion in assets under management.

By contrast, Ethereum ETFs have drawn $13.64 billion in total inflows and now manage $30.17 billion, representing 5.44% of ETH’s market capitalization. However, while BTC funds remain far larger, Ethereum’s pace of accumulation has become quite notable.

Analysis by DefiLlama based on data from Farside Investors shows that spot ETH ETFs have posted stronger inflows than the BTC ones in six straight weeks, including periods of overall market turbulence.

You would have to go back to the July 14-20 window, when BTC ETFs were in the middle of a long inflow streak, to find the last time they topped Ethereum. In that week, the Bitcoin-based products saw $2.386 billion in net inflows against Ethereum’s $2.182 billion. Since then, it has all been downhill for the OG cryptocurrency.

Between July 21 and 27, Bitcoin ETFs saw just $72.3 million in inflows, while Ethereum ETFs brought in $1.84 billion. The trend deepened from July 28 to August 3, when BTC posted $642.9 million in outflows compared to ETH’s net gains of $154.3 million.

Even in weeks where both asset classes recorded losses, ETH still fared better. For example, between August 18 and 24, Bitcoin funds shed $1.179 billion, while only about $241 million worth of capital trickled out of Ethereum ETFs.

With still a few days left in the last week of August, ETH is again leading after raking in over $1.2 billion in inflows. Meanwhile, since Monday, their BTC counterparts have collectively managed a more modest $388.6 million.

Market Context

Looking closer, within the ETF ecosystem, BlackRock dominates both asset classes. Its IBIT product leads Bitcoin with $83.54 billion in net assets after a $50.87 million single-day inflow on August 27.

On the Ethereum side, the investment firm’s ETHA fund accounts for $17.19 billion in assets and added $262.63 million that same day, dwarfing activity from competitors such as Fidelity and Grayscale.

The story is also similar in the markets, with the two leading crypto assets moving in opposite directions. Bitcoin is trading at $112,967, down slightly by 0.4% on the week compared to ETH’s 7.5% pump in the same period.

BTC also lags in the monthly charts, dipping by 5%, while ETH went up by almost 19% in that time. In one year, ETH has advanced by 86%, which is broadly in line with Bitcoin. Furthermore, both assets recently hit new all-time highs, but have since dropped from their respective peaks by almost the same rate.