Ether ETFs Outpace Bitcoin ETFs with $224.9M Inflows Amid 7.7% ETH Rally

ETFs are beating Bitcoin ETFs, with $224.9 million in inflows over the last 4 days vs $35.2 million for Bitcoin ETFs, according to Farside Investors.

This is as the DeFi ecosystem celebrates a big win in court and investor confidence is up.

The surge in ETF interest coincides with an 8% rise in Ethereum’s price to $3,590 over the last week. Analysts point to two big developments: a favorable US court ruling for Tornado Cash, an Ethereum-based DeFi protocol, and Paul Atkins might replace Gary Gensler as head of the SEC.

 

ETH/USD

Ethereum Leads as ETH-to-BTC Ratio Rises

Ethereum is up 8% while Bitcoin is down 2% over the last week, so the ETH-to-BTC ratio is at 0.037 BTC. While Bitcoin ETFs had a record $6.2 billion in inflows in November and $3.1 billion last week, the focus is now on Ethereum.

Markus Thielen, founder of 10x Research, says Ethereum is still the DeFi chain and the Tornado Cash ruling is the start of the DeFi comeback. “The court decision is a clear signal about the strength of decentralized platforms, and Ethereum will grow from here.”

And leveraged Ether ETF demand is up 160% since the US presidential election, so optimism is growing for a more friendly regulatory environment under a potential Paul Atkins-led SEC.

DeFi Renaissance Underpins Ethereum’s Momentum

Ethereum’s move is also a catch-up trade in the ongoing bull cycle. Bitcoin and Solana have outperformed Ethereum this year, but now Ethereum is about to take back market share.

Reports that President-Elect Donald Trump is interested in DeFi through his involvement with World Liberty Financial further supports Ethereum’s role in the evolving DeFi landscape. Thielen says, “This is a DeFi renaissance under a Trump administration, and good for Ethereum’s long term.”

And Ether ETFs will beat Bitcoin ETFs in US for the first time, institutional and leveraged demand is strong. If this continues, more upside for Ethereum.

Key Insights:

  • Ether ETF Surge: $224.9M in net inflows for Ether ETFs vs. $35.2M for Bitcoin ETFs over four days.

  • Regulatory Optimism: Reports suggest pro-crypto advocate Paul Atkins may lead a more favorable SEC.

  • ETH Momentum: Ethereum’s price surged 7.7%, bringing the ETH-to-BTC ratio to 0.037 BTC.

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ABOUT THE AUTHOR See More
Arslan Butt
Index & Commodity Analyst
Arslan Butt serves as the Lead Commodities and Indices Analyst, bringing a wealth of expertise to the field. With an MBA in Behavioral Finance and active progress towards a Ph.D., Arslan possesses a deep understanding of market dynamics.His professional journey includes a significant role as a senior analyst at a leading brokerage firm, complementing his extensive experience as a market analyst and day trader. Adept in educating others, Arslan has a commendable track record as an instructor and public speaker.His incisive analyses, particularly within the realms of cryptocurrency and forex markets, are showcased across esteemed financial publications such as ForexCrunch, InsideBitcoins, and EconomyWatch, solidifying his reputation in the financial community.
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