Outflows from U.S. spot Ethereum ETFs reached 23 trading sessions, marking the longest uninterrupted outflow streak since the funds were launched.
On-chain data and analytics platform Glassnode reported that investors using exchange-traded funds to invest in Ethereum are pulling back. Net outflows from the funds as a whole for 23 consecutive sessions paint a negative picture for the consistency of demand coming through traditional finance.
Demand weakened after August and September buying
Glassnode interpreted the streak as a sign of weakening demand among traditional investors who bought heavily in August and September. As a result, sustained net outflows have begun to draw attention in the spot ETF channel, where buying had stood out in previous months.
Spot Ethereum ETFs allow investors to gain exposure to the price of ETH through exchange-traded funds without using a crypto wallet directly. For this reason, money flowing into and out of the funds is tracked to gauge investor demand for Ethereum through this channel.
The standout point in the latest data was not the size of the outflow in any single session, but that the uninterrupted duration of outflows set a record. Glassnode’s post did not include the total amount of outflows over the 23 sessions.
Not investment advice.