- Ethereum ETFs recorded $164 million in net outflows on August 29 as the ETH price slipped below $4,300 amid a market correction.
- Ethereum ETF inflows slowed in August, totaling $3.87 billion, down from July’s $5.5 billion, amid investor profit-taking.
- Treasury firms and a large Bitcoin whale boosted ETH holdings, accumulating over $3 billion in anticipation of market shifts.
Ethereum Exchange-Traded Funds (ETFs) saw significant outflows on August 29, totaling $164.64 million. This shift followed a strong performance earlier in the month, as ETH’s price dropped below $4,300 due to a broader crypto market correction. The data, reported by SoSo Value, shows the outflows marked the end of a six-day inflow streak that began on August 21.
Grayscale’s ETH products accounted for a large portion of the outflows. The Grayscale Ethereum Trust (ETHE) recorded $61.30 million in redemptions, while the main ETH fund shed $28.64 million. Fidelity’s ETH fund followed with $51.02 million withdrawn, and Bitwise saw outflows of $23.68 million. Meanwhile, issuers such as BlackRock reported no daily net flows during the same period.
Bitcoin ETFs Mirror Ethereum’s Trend With Outflows
The trend of investor withdrawals extended beyond Ethereum. Bitcoin ETFs also faced daily net outflows of approximately $126 million on August 29. These simultaneous outflows across major crypto ETFs suggest cautious investor sentiment after months of rally-driven inflows.
Despite the recent outflows, Ethereum ETFs concluded August with a net inflow of $3.87 billion. This total was lower than July’s $5.5 billion, reflecting increased profit-taking after Ethereum’s price surged to an all-time high of $4,953 on August 24. ETH gained over 73% in the last 90 days and 15% in the past month.
ETH Accumulation by Treasuries and Whales Intensifies
While ETFs experienced volatility, treasury holdings and large investors expanded their ETH positions. Strategic ETH Reserve data indicates treasury firms now hold 4.44 million ETH, representing 3.67 percent of the total supply, worth approximately $19.34 billion. Notably, a long-standing Bitcoin whale shifted focus by converting over $3 billion worth of BTC into ETH through the Hyperliquid platform.
This investor’s recent accumulation includes 691,358 ETH, bought gradually through multiple transactions. The move, aligned with increased treasury activity, suggests expectations for Ethereum to lead the altcoin market in the near term. The potential for a Federal Reserve rate cut in September further strengthens the case for continued ETH accumulation.
