Ethereum ETF surpasses Bitcoin with institutional capital inflows

Source: beincrypto

Compiled by: Blockchain Knight



Ethereum ETF inflows surged, with corporate investments attracted by the past six weeks exceeding the previous 12 months combined. In July, Ethereum-related products performed clearly better than Bitcoin.



Corporate capital inflows maintain this trend: large-scale buying on dips, pushing Ethereum into new market segments. BitMine's huge investment has become an important driving force in this process.





Judging from recent performance, Ethereum ETFs have been widely recognized recently. Last month, its scale briefly exceeded that of Bitcoin-related products and continued to drive institutional capital inflows, but Bitcoin ETFs generally still occupy a larger market share.



But two Bloomberg analysts questioned this "suboptimal" positioning and rated the entire Ethereum ETF category as the July "monthly ETF". After a slow start, Ethereum ETF finally ushered in explosive growth, and analysts believe it is now Bitcoin’s turn to catch up.



Eric Balchunas attributes institutional recognition of Ethereum ETFs to BitMine, the largest Ethereum Treasury company. Currently, BitMine holds US$6.6 billion in ETH, and its actions have also driven corporate funds to seize the opportunity to buy on dips. Jamie Elkaleh, chief marketing officer at Bitget Wallet, interpreted the importance of this phenomenon in an exclusive interview with BeInCrypto:



"Ethereum's recent rise has triggered profit-taking, which shows that traders are waiting for the macro level to become clear while locking in earnings. It is worth noting that despite short-term volatility, institutional inflows to ETFs are still providing structural buying. This means that even if the short-term price trend remains volatile, the demand base behind it is stronger than in previous cycles."



In other words, the huge inflow of Ethereum ETFs is itself driving market changes. Until this summer, Ethereum had always lacked a narrative comparable to Bitcoin’s “digital gold”, but now this institutional support has been gradually established, creating new opportunities for the market that do not exist in more segments.



Let me give you two examples: ETF wholesalers can now launch Ethereum-related products on a large scale to open up potential markets; NEOS high-yield Ethereum ETFs can also rely on the basis of corporate capital inflows to provide investors with riskier trading options. In these areas, a positive cycle of "success will lead to more success" is taking shape.


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