Ethereum exchange-traded funds (ETFs) just experienced their largest single-day outflow on record, with $465 million exiting the market on August 4.
BlackRock’s iShares ETH Trust (ETHA) was hit the hardest, accounting for $375 million of the redemptions, with Fidelity and Grayscale’s funds also seeing significant losses. This sharp reversal comes after a booming July, when ETH ETFs had attracted a record $5.4 billion in inflows, driving ETH’s price up by over 50%.
The market-wide downturn wasn’t limited to Ethereum, as spot Bitcoin ETFs also saw heavy withdrawals, losing a combined $333 million on the same day.
Despite the massive redemptions, ETH’s price has surprisingly remained resilient, even posting a 2.2% gain in the past 24 hours. Looking ahead, Galaxy Digital CEO Mike Novogratz remains bullish on Ethereum, predicting that it could outperform Bitcoin over the next few months and potentially test the $4,000 price level.
Consensys CEO Joe Lubin has also signaled that the company will continue accumulating Ethereum (ETH), adopting a strategy similar to Michael Saylor’s successful Bitcoin playbook. Consensys has already surpassed the Ethereum Foundation to become one of the largest corporate holders of ETH, but it still has ground to cover to reach the top spot, which is currently held by BitMine Immersion Technology with a staggering $2.9 billion worth of ETH.
Backed by high-profile investors like Cathie Wood’s ARK Invest and Fundstrat’s Tom Lee, BitMine has a significant lead in the competition for corporate dominance. With Lubin’s renewed focus on ETH accumulation, the race among these companies is intensifying.
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