After 19 consecutive days of net inflows, U.S.-listed spot Ethereum ETFs finally saw the streak break on Friday with a modest $2.2 million in outflows. The reversal is being attributed to rising geopolitical tensions and a broader pullback in risk assets.
The historic run had already surpassed a similar streak from late 2024, pushing total cumulative inflows past $10 billion since the ETFs launched in July 2024. The rally was also remarkable for moments when Ethereum ETF demand briefly exceeded that of Bitcoin ETF counterparts, highlighting institutional interest in ETH exposure.
On Friday, the reversal was driven by two major funds: Grayscale’s Ethereum Mini Trust (ETH) posted $6.7 million in inflows, while Fidelity’s Ethereum Fund (FETH) registered $8.9 million in outflows—tipping the day’s total into the red.
Still, analysts view the pullback as minor and interpret it more as a temporary pause than a shift in sentiment.
Mideast Conflict Triggers Crypto Liquidation Wave
Fresh conflict between Israel and Iran weighed heavily on investor sentiment Friday, contributing to the Ethereum ETF outflows and sparking approximately $1.1 billion in liquidations across the crypto market. Ether was hit hardest, falling around 8% over 48 hours, according to The Block.
The downturn overshadowed a bullish headline from SharpLink Gaming, which announced a $463 million Ethereum acquisition—making it the second-largest known ETH holder after the Ethereum Foundation. The move reinforced growing corporate confidence in Ethereum, but had little impact on SharpLink’s battered stock, which remains subdued following a 70% drop linked to SEC filings about potential share resales.
Bitcoin ETFs Climb as Investors Shift to Safety
In contrast to Ethereum’s retreat, U.S.-listed spot Bitcoin ETFs saw strong inflows on Friday, drawing $301.6 million and pushing cumulative inflows to a new record of $45.6 billion, according to SoSoValue.
BlackRock’s IBIT dominated the session with $239 million in net inflows. Fidelity’s FBTC followed with $25.2 million, while four smaller funds combined contributed under $15 million.
Despite Bitcoin itself slipping around 2% during the same period, ETF demand suggests growing faith in BTC’s role as a hedge asset. Marcin Kazmierczak, Co-founder and COO at RedStone, noted,
“Risk assets are experiencing classic flight-to-safety selling while commodities and safe havens surge… For now, volatility is the only certainty.”
The trend points to Bitcoin’s increasing institutional appeal, particularly during global instability—suggesting ETF channels may be helping absorb some of the market shocks, even if the spot price remains volatile.
Quick Facts
- Ethereum ETFs ended a 19-day inflow streak with $2.2M in outflows.
- SharpLink bought $463M in ETH but saw no stock recovery.
- Bitcoin ETFs gained $301.6M on Friday, reaching $45.6B in inflows.
- ETH fell 8% amid $1.1B in leveraged liquidations tied to Mideast tension.
- BlackRock’s IBIT led Friday’s ETF flows with $239M.
