Ethereum Gains Ground as Bitcoin ETF Outflows Continue

Key Points

  • Bitcoin ETFs saw over $1.2 billion in redemptions over three days, signaling widespread profit-taking.
  • Ethereum investment products marked 12 consecutive days of inflows, totaling $634 million.
  • Analysts cite growing confidence in Ethereum’s scaling roadmap and increasing institutional interest.
By Dorin Buliga

Ethereum is showing signs of renewed strength in the crypto market as investor flows shift noticeably from Bitcoin to Ether.

Over the past three days, Bitcoin ETFs recorded over $1.2 billion in outflows, with $268 million exiting just on Monday, according to Farside Investors. This trend indicates widespread profit-taking as BTC hovers near recent highs.

In contrast, Ethereum funds logged $78 million in inflows on Monday, bringing the total to $634 million over 12 consecutive trading days.

This is the strongest accumulation trend since the approval of Ethereum ETFs. Valentin Fournier from BRN described this divergence as a signal of increasing institutional interest in ETH, particularly while retail participation remains subdued.

ETH is also gaining price momentum. As of Tuesday, Ethereum is trading above $2,600, up 4.5% in 24 hours. Meanwhile, Bitcoin is up just 1.8%, trading slightly above $106,000.

Joseph Lubin, co-founder of Ethereum and CEO of Consensys, highlighted growing traditional market interest in Ethereum exposure.

His comments followed a $425 million investment in SharpLink Gaming, which aims to use Ethereum as a treasury reserve. Despite early volatility in SharpLink’s stock, the move reflects broader market interest in Ethereum integration.

On the technical front, analysts point to Ethereum’s potential price breakout. A historical pattern, comparing ETH’s chart with gold’s long-term structure, suggests that Ether could follow a similar upward trajectory. This setup may push ETH to the $5,000–$6,000 range in the coming months, supported by patterns seen in previous bull cycles.

GSR’s Carlos Guzman noted increased investor confidence in Ethereum’s roadmap.

The Ethereum Foundation and co-founder Vitalik Buterin have both emphasized plans to scale the network tenfold over the next year. This renewed focus on Layer 1 upgrades could improve performance and attract further institutional interest.

Additionally, as interest in memecoins cools, ETH appears to be regaining capital previously diverted to competitors like Solana.

Ether-focused investment funds attracted $321.4 million in the final week of May—more than any other crypto asset—highlighting Ethereum’s leading role in the current market shift.

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