However, Bitcoin funds are still struggling. US spot Bitcoin ETFs lost $424 million on July 13, then recovered $181 million the next day. Money going out and coming back within 48 hours does not indicate that an allocator is building a position.
As such, the supply of ether is tighter. Of the $53.8 million received on Wednesday, BlackRock’s ETHA took in $45.3 million and its smaller fund ETHB took in $4 million, leaving the other eight products sharing less than $5 million.
Grayscale’s original ether trust, which charges 2.5% compared to BlackRock’s 0.25%, has lost $5.3 billion since its launch.
Ether also detected a source of demand that did not exist three weeks ago. Robinhood Chain, the layer 2 network that the brokerage activated on July 1, pays for gas in ether and settles on Ethereum, and it has cleared more than $800 million in daily decentralized exchange volume, most of it memecoin trading.
Bitcoin is more stable than its ETF flows suggest, however. The Nansen data shows that FX outflows are holding steady despite the escalation in the Middle East, without a significant rotation into stablecoins, the move that typically marks portfolio declines.
Funding rates are near zero, suggesting that the overleveraged long positions that fueled June’s liquidation cascades have already been eliminated. Bitcoin dominance is 58.3%.
