Ethereum ETF Posting 15-Day Inflow Chain : Is Pectra Bringing in Institutional Capital ?

The US Ethereum spot ETFs have recorded 15 consecutive trading days of net inflows, accumulating $837.5 million since May 16.

The inflow chain began a week after the Ethereum Pectra upgrade, increasing EIP-7702 transaction volume to nearly 1,000 per day and improving wallet functionality without changing addresses.

Ethereum ETF Inflows Reach $837.5 Million

These inflows represent about 25% of the total net inflows since the funds were launched in May 2024. This chain marks the longest uninterrupted inflow period for Ether ETFs since late 2024.

According to data from SoSoValue, this puts the Ethereum spot ETFs at their highest cumulative inflow value to date, now totaling $3.33 billion.

BlackRock's ETHA fund leads the Ethereum ETF market in individual inflows, contributing nearly $600 million in this surge. Although ETHA has the highest inflows, Grayscale's dual products, ETHE and ETH, have a larger asset base, with $4.09 billion in AUM compared to ETHA's total.

Meanwhile, Fidelity's product follows with $1.09 billion, while other funds remain below $250 million. Notably, this surge coincides with Ether's 38% price increase over the past 30 days.

Key factors include new institutional interest, optimism about Ethereum's long-term fundamentals, and the recent Pectra network upgrade. Analysts remain optimistic about Ethereum's price prospects.

However, JPMorgan analysts note that despite increasing institutional allocation, user activity on the Ethereum network has not significantly increased after the upgrade.

"Both daily transaction volume and active address count have not seen a significant increase following recent upgrades," wrote the analysts led by Nikolaos Panigirtzoglou in a recent report.

If the current pace continues, this chain could exceed $1 billion next week. Such a result would further emphasize the strong shift in sentiment after the relatively quiet start of Ether ETFs.

Bitcoin ETFs Decline After Reaching Record Highs

While Ethereum ETFs continue to attract attention, the same cannot be said for Bitcoin funds. Spot Bitcoin ETFs recently saw their inflow chain broken on May 29, with $346.8 million leaving the market in just one day.

Since then, Bitcoin ETF inflows have become volatile, and cumulative inflows have decreased by over $1 billion. Dropping from $45.34 billion on May 28 to $44.24 billion as of Friday's trading session.

BlackRock's IBIT fund remains the leader in this category by a large margin, managing $69 billion in assets. Fidelity's FBTC and Grayscale's GBTC follow with $20.51 billion and $19.32 billion in AUM, respectively.

The market also experienced short-term volatility after the tense online exchange between President Donald Trump and Elon Musk triggered a widespread selloff in the cryptocurrency and stock markets.

Focus on Staking and ETF Innovation

As investor interest in Ether ETFs accelerates, some analysts suggest that future inflows will depend on whether staking functionality is introduced. James Seyffart, an ETF analyst at Bloomberg, recently emphasized that adjustment solutions are being implemented to launch staking-enabled ETFs.

ETF provider REX Shares has filed for Ethereum and Solana staking ETFs, and such first products may appear in the US in the coming weeks.

The increasing demand is also reflected in broader Ethereum adoption metrics. According to Santiment, the number of Ethereum holders has now exceeded 148 million.

This indicates long-term confidence in the asset. In comparison, Bitcoin has 55.39 million holders, while popular assets like Dogecoin, XRP, and Cardano have between 4 and 8 million holders.

With Ether ETFs currently performing at their strongest ever, attention is focused on whether this momentum can continue.

Perhaps, products with staking features could drive the next wave of institutional adoption.