Ethereum ETFs Experience $800M in Withdrawals, Their Worst Week Since Launch
Ethereum exchange-traded funds recorded their steepest weekly outflows to date, shedding nearly $800 million last week as crypto markets slipped.
Spot Ethereum ETFs saw net withdrawals of $795.6 million for the week ending September 26, just above the previous high of $787.7 million established earlier this month, according to statistics from SoSoValue.
High trading volumes—which exceeded $10 billion across all funds—accompanied the sell-off.
Fidelity’s FETH Leads $800M Ethereum ETF Exodus
Fidelity’s FETH and BlackRock’s flagship ETHA fund had the largest withdrawals.
Despite losing more than $200 million, ETHA, the biggest Ethereum ETF by assets under management, still has more than $15.2 billion in total assets.
The weekly decline was led by outflows of almost $362 million from FETH.
Thursday and Friday saw a temporary drop in ETH values below $4,000, which led to $250 million in Ethereum fund redemptions over two days in a row—the worst 48-hour period since mid-August.
A combination of technical pressure, general economic concern, and the liquidation of leveraged positions were cited by analysts as the reasons for the steep decline.
Since then, Ethereum has somewhat rebounded, and as of Saturday, it was trading close to $4,020.
The same week saw significant withdrawals from Bitcoin ETFs as well, with $902.5 million altogether. The largest single-day withdrawal total in over a month was $418.3 million on Friday alone.
Similar to Ethereum, BlackRock’s IBIT fund fared better throughout the crisis than its competitors. While Fidelity’s FBTC saw nearly $300 million removed in a single day, IBIT only lost $37.3 million on Friday.
The dominance of BlackRock’s bitcoin product is still growing in spite of the recent turmoil.
Solana ETF Filings Signal Institutional Momentum
Updated S-1 registrations for spot Solana ETFs, some with staking capabilities, have been made by a number of leading asset managers, including Bitwise, Franklin Templeton, and Fidelity.
According to ETF researcher Nate Geraci, who views mid-October as a critical month for digital asset products, the US SEC may approve them by then.
The filings come after the REX-Osprey Solana Staking ETF was introduced to the Cboe BZX Exchange, attracting $12 million in inflows on its first day of trading.
According to analysts, Solana is rapidly emerging as the next altcoin that institutions choose, and Solana ETPs based in Europe have also seen significant inflows.
Staking wording in these filings, according to Geraci and others, may open the door for long-awaited spot Ethereum ETFs that can stake.
In the meantime, U.S.-based exchange-traded funds (ETFs) dominate the market, holding about 1.47 million BTC, or around 7% of the entire supply.
According to data from HODL15Capital, BlackRock’s IBIT is in the lead with 746,810 BTC, followed by Fidelity’s FBTC at about 199,500 BTC.
Disclaimer and Risk Warning
coinweck does not endorse or is responsible for any content, accuracy, quality, advertising, products, or other materials on this page. The image used in this article is for informational purposes only and is provided to us by a third party. coinweck should not be held responsible for image copyright issues. Contact us if you have any issues or concerns. Readers should do their research before taking any actions related to the company.