It has been over a month since Spot Ethereum Exchange Traded Funds (ETFs) startedwhich represents a significant milestone for the fixed assets. In this short period Spot Ethereum ETFs have experienced varying levels of demand, with significant inflows during peak periods and lower market interest at other times.

How Ethereum ETFs have evolved since their launch

Accordingly Data According to Farside Investors, spot Ethereum ETFs have seen more outflows than inflows since their launch on July 23. Despite expectations of strong demand and performance, these investment products recorded outflows of a whopping $465 million.

These outflows were led by Grayscale’s Ethereum Trust (ETHE) and caused Grayscale ETF outflows dwarfing all inflows into spot Ethereum ETFs. On launch day alone, Grayscale recorded an outflow of $484.1 million, which is the highest daily outflow in the first month after launching spot Ethereum ETFs.

In contrast, BlackRock’s iShares Ethereum Trust ETF (ETHS) saw total inflows of more than $1 billion. Most notably, on July 23, Spot Ethereum ETFs saw their largest single-day inflows since their launch, with BlackRock leading the way with a whopping $266.5 million in inflows.

There are a total of nine Spot Ethereum ETFs in the United States (US)BlackRock’s ETHS and Fidelity’s Ethereum Fund (FETH) in particular led the inflow gains. Although Spot Bitcoin ETFs While Ethereum experienced one of the most successful ETF launches in history, the performance of Ethereum ETFs has been rather disappointing in comparison.

The lower demand for spot Ethereum ETFs could be due to Investors prefer Bitcointhe largest and most popular cryptocurrency in this space. Bitcoin’s dominant position in the crypto market is likely to fuel the significantly increased demand for its ETF.

On the other hand, Ethereum (ETH) is ranked as the largest altcoin but is generally considered less dominant than Bitcoin, both in terms of price and overall market influence. Aside from the brief spike following its launch, recent demand for spot Ethereum ETFs has been unexpectedly low.

Farside Investors reported that since August 15 Ethereum spot ETFs recorded predominantly outflowswhile BlackRock and several other ETFs saw no inflows. This decline in demand underscores the overall weak interest and sentiment among investors towards these investment products.

Spot Ethereum ETFs could trigger a breakout for ETH

In a recent X (formerly Twitter) postCrypto analyst Ted Pillows said that Outflows from Spot Ethereum ETFs could be coming to an end. He stressed that Ethereum spot ETFs have been significantly down in recent days, due to outflows from Grayscale’s Ethereum ETF.

On a positive note, Pillows has observed a steady decline in outflows from Grayscale’s ETHE. As a result, he suggests that this trend is a sign of an impending Price breakout for Ethereum when outflows decrease.

Featured image by Gadgets 360, chart by TradingView