BlackRock's spot Ethereum exchange-traded fund (ETF) has achieved a significant milestone, surpassing $1 billion in total asset value just two months after its launch. This achievement comes after a favorable trading week for US-based spot Ethereum ETFs, marking a notable turnaround in investor sentiment. The recent week saw positive net inflows for the first time in several weeks, indicating renewed enthusiasm for Ethereum. The data reveals that US-based spot Ethereum ETFs experienced their highest weekly inflows since early August, reversing a trend of six consecutive weeks of negative outflows. On a particular Friday, these funds recorded inflows totaling $58.7 million, contributing to a net positive inflow of approximately $84.5 million for the week. Notably, Fidelity's FETH fund led the way with $42.5 million in inflows, while BlackRock's ETHA fund added $11.5 million. This surge in investment has positioned BlackRock's fund among the top 20% of over 3,700 ETFs available in the US market. In addition to BlackRock and Fidelity, other funds also saw inflows, including Bitwise's ETHW, Invesco's QETH, and Grayscale's ETH. The overall net asset value of these funds has reached $7.4 billion, the highest level since late August. The recent performance of Ethereum has been bolstered by a rate cut from the Federal Reserve, which has led to a resurgence in optimism among futures traders regarding Ethereum's potential. Transaction fees for Ethereum have also increased, reflecting a rise in blockchain activity. This combination of factors has contributed to a more favorable outlook for Ethereum, particularly as it has outperformed Bitcoin in recent trading sessions. The article emphasizes the independent nature of The Block as a media outlet, providing objective and timely information about the cryptocurrency industry. Zack Abrams, the author of the article, has a background in Web3 media and has previously reported on significant stories in the crypto space. The article concludes with a disclaimer regarding the nature of the information provided, clarifying that it is not intended as financial or investment advice.

BlackRock's Ethereum-based money market fund has reached an AUM of approximately $400 million.

After eight issuers had their 19B-4 filings approved for a spot Ethereum ETF, BlackRock has updated its S-1 application to begin trading its iShares Ethereum Trust. Bloomberg ETF analyst Eric Balchunas believes there could be one more round of comments from the SEC, then a launch around the end of June or early July.

The SEC has approved eight spot Ethereum ETFs from issuers, including BlackRock, Fidelity, and Grayscale, months after approving spot Bitcoin ETFs. While the approval of the 19b-4 forms marks a significant step, trading will only start after the S-1 statements have been registered, which may take weeks.

The SEC has delayed its decision on BlackRock's proposed Ethereum ETF for the second time, indicating that other similar applications from companies like Fidelity, Invesco, and Galaxy Digital could also face delays. The success of the spot Bitcoin ETFs is increasing interest in Ethereum ETFs. The delay was mostly expected. Experts are confident that a decision, likely an approval, will be reached in May.

Ethereum ETFs now boast $10.2 billion in assets across 9 ETFs, with over $1 billion in volumes on the first trading day and over $500 million on day two. Total net flows were $107 million, even after nearly $500 million left Grayscale's Ethereum Trust.

Wall Street struggles to grasp Ethereum's value, with BlackRock simplifying it as "a bet on blockchain technology," which may not resonate with traditional investors. Despite Ethereum ETFs launching, ETH's price has dropped. Analysts maintain a bearish outlook on ETH, highlighting stagnant fundamentals, lack of major marketing, and competition from platforms like Solana as key challenges.

This bull cycle, Ethereum may be the only tokenization platform with a spot ETF classified as a commodity, giving it a massive advantage in onboarding institutions like BlackRock's BUIDL fund. It is also the chain of choice for Coinbase, as evidenced by the Base L2. Institutions will pay premium transaction fees for its stability and liveness, and they will value its high cash flow and real yield.

Matt Hougan, CIO of Bitwise, predicts Ethereum ETFs will see $15 billion in net inflows in their first 18 months of trading. In a note sent to clients, he cited ETH/BTC market cap comparisons, international ETF data, and spot/futures arbitrage trading. He believes the lack of staking rewards is a “rounding error” that will not impact demand.

Grayscale's new Ethereum ETF might see large outflows (~$110 million daily in its first month) if its Ethereum ETF mimics its Bitcoin ETF's performance.

BlackRock, the world's largest asset manager, has filed a form with the SEC for its first tokenized asset fund: the BlackRock USD Institutional Digital Liquidity Fund. The fund will have a minimum investment of $100,000, be tokenized on the Ethereum blockchain, and be offered by U.S. digital assets securities firm, Securitize.

Asset manager BlackRock has filed an application with the SEC to acquire shares of Bitcoin ETFs for its own funds. The firm plans to do this through its Strategic Income Opportunities Fund. The fund’s ETF has gained the lead in market share amongst the new spot Bitcoin ETFs and has done record-breaking levels of trading volume. This move would allow BlackRock to make investments directly into these ETFs, giving clients of this fund direct exposure to Bitcoin.

Experts predict varying levels of inflows into the anticipated Ethereum ETFs, with estimates suggesting inflows could range from $1 billion to 50% of Bitcoin ETF inflows during the first four months. This increased market participation is expected to significantly impact Ethereum's price, potentially increasing it more substantially per billion invested compared to Bitcoin, due to factors like its smaller market size and deflationary supply dynamics since the Merge.

Data indicates that BlackRock's IBIT, the largest spot bitcoin ETF, with an average trade size of $13,000, has so far primarily attracted retail investors.

Trading volume for Bitcoin ETFs exploded in March, almost tripling February’s $42.2 billion total. BlackRock and Fidelity’s products remain the most popular, with $18 billion and $10 billion in assets under management respectively. Grayscale’s trust-turned-ETF has seen $15 billion in total outflows, declining from about 619,000 BTC to 333,619 BTC.

Bitcoin and Ethereum have had similar returns since the cycle bottom, raising questions about whether an ETF would provide much upside. After accounting for GBTC rotations and conversions of spot BTC to ETF, the total true net buying inflow from the BTC ETFs was $5B, which implies $0.84B in net buying for ETH based on analysis. Crypto natives' expectations for the ETF are overinflated, as Bitcoin has a better mind share within institutional investment circles while selling ETH as a tech asset is more difficult.

Despite perceived SEC disengagement, the precedent set by Bitcoin ETF approvals and similar issues suggests Ethereum ETFs should also be approved for consistency and investor access.

BlackRock and Nasdaq have submitted a proposal to the SEC to list and trade options for the iShares Eth Trust (BlackRock's spot Eth etf), aiming to provide investors with cost-effective tools for exposure and hedging related to eth.

Bloomberg ETF analysts Eric Balchunas and James Seyffart announced that they are hearing that the ETH ETFs could be approved on May 23rd, and upped their odds from 25% to 75%. The approval of an ETH ETF is being seen as an increasingly political issue, especially after the move to overturn the SEC's SAB 121 ruling about crypto custody passed the House and Senate. Upon the news, ETH has increased by over 17%.

Coinbase, America's largest cryptocurrency exchange, recently met with the SEC to discuss Grayscale's proposed Ethereum ETF. Conversion of Grayscale's Ethereum Trust into a spot ETH ETF would allow investors to access spot Ethereum exposure directly through their normal brokerage accounts. According to documents filed with the regulator, the presentation covered possible market manipulation and described Ethereum as resilient to fraud and manipulation.

Ethereum co-founder Joe Lubin described recent SEC approvals of spot Ethereum ETFs and bipartisan support for a crypto regulation bill as big shifts in U.S. crypto policy, largely influenced by political dynamics.

BlackRock's iShares Bitcoin Trust and Fidelity Investments' Wise Origin Bitcoin Fund have emerged as the leaders of the spot Bitcoin ETF race so far. These two funds have captured 79% of total inflows while the rest have struggled to keep up, responding by reducing fees. Experts expect further concentration among the top ETFs and continuing fee wars as time goes on.

Bitcoin is approaching its all-time high, eclipsing $68,000. With this surge in price, Bitcoin is closing in on silver's $1.4 trillion market cap. Meanwhile, Ethereum also hit a significant milestone, surpassing $3,700 for the first time since January 2022. This comes on the back of record inflows into BlackRock and other funds’ spot Bitcoin ETFs.

BlackRock's Global Allocation Fund may soon include investments in Bitcoin exchange-traded products, according to a revised prospectus lodged with the SEC. This is the second fund that BlackRock has filed to include Bitcoin ETFs in. BlackRock says that these ETFs help the funds gain access to bitcoin exposure, helping them create a more diversified investment strategy.

Jump Crypto has been actively liquidating its crypto holdings since July 25th, including hundreds of millions of dollars in stEth. This coincides with the recent launch of US-based spot ether ETFs and a broader downturn in crypto asset prices.

This thread cites several factors for the bull case for Ethereum and an eventual $10,000+ price. The early pivot to Layer 2s and the commitment from innovative companies, like StarkWare and Coinbase, in building L2s demonstrates industry confidence. Even though L1 transaction costs remain high, the mainnet remains a place for the highest-security transactions, and the deflationary nature of ETH incentivizes investors to hold. Institutions and governments seem to be warming up to Ethereum, as demonstrated by BlackRock’s onchain fund and the CFTC’s declaration that Ethereum is a commodity.

The SEC has approved the listing and trading of options for BlackRock's spot bitcoin ETF, iShares Bitcoin Trust, on the Nasdaq. This move demonstrates further mainstream acceptance of crypto, providing institutional investors and traders with more tools to manage and increase their exposure to bitcoin.

Following a week of net outflows, U.S. spot bitcoin ETFs recorded $31 million in net inflows, primarily coming from Fidelity's FBTC and Bitwise's BITB. The inflows occurred as expectations increased around the launch of spot ether ETFs.

Based on other ETH products and market analysis, K33 Research estimates that ETH ETFs could see around 1 million ETH of inflows in their first five months. It looked at the market share of ETH vs. BTC on CME futures contracts, finding that ETH trading demand is typically 35% of BTC's.

The recent activity in the cryptocurrency market highlights significant developments, particularly regarding Ethereum (ETH) and its performance. ETH has reached $45 million in weekly fees, marking the highest level since June 10, 2024. This surge in fees indicates a robust increase in network activity, showcasing Ether's resilience and growth, even as Bitcoin continues to dominate discussions in traditional finance as "digital gold." The focus on Ethereum's performance is crucial, especially as it contrasts with Bitcoin's narrative. While Bitcoin garners more attention, Ethereum's increasing network engagement and price movements are noteworthy. This trend suggests that investors and users are recognizing the potential of Ethereum beyond its initial use cases, leading to a more dynamic ecosystem. In addition to Ethereum's performance, the broader landscape of cryptocurrency investments is evolving. For instance, discussions around leveraged trading strategies, such as those employed by significant players in the market, reveal the complexities and risks involved in trading. One example includes a prominent Aave GHO whale who has been strategically increasing their leveraged ETH position. This approach involves minting GHO with wrapped staked ETH (wstETH) and converting the stablecoin back into ETH, highlighting the intricate strategies traders are using to navigate the market. Moreover, the emergence of new platforms like Symbiotic, which facilitates coordination between users and services for enhanced security through liquidity, indicates a growing interest in innovative solutions within the Ethereum ecosystem. This platform aims to compete with existing solutions like Eigenlayer, which has already seen substantial growth in total value locked (TVL). As the market continues to evolve, understanding on-chain analytics and market indicators becomes increasingly important for investors. Tools like the Market Value to Realized Value (MVRV) ratio can provide insights into market trends, helping traders identify potential buying opportunities when the value dips below certain thresholds. Overall, the cryptocurrency market is witnessing a blend of traditional narratives and innovative strategies, with Ethereum's performance and the rise of new platforms playing a pivotal role in shaping the future of digital assets.