In December, Ether (ETH) exchange-traded funds (ETFs) reached a net inflow of $2.6 billion, gaining momentum in the market yet still trailing behind Bitcoin (BTC) ETFs, which amassed over $35 billion in net inflows for the year. The rising interest in Ether ETFs was highlighted by eight consecutive weeks of inflows in November and December, peaking at $2.2 billion during the week of November 26.
Despite currently lagging behind Bitcoin ETFs, analysts predict a potential shift in 2025. This could occur if Ethereum’s spot price performance boosts ETF returns and if regulatory changes allow these funds to generate yields from staking. Leading the charge among Ether ETFs is BlackRock’s iShares Ethereum Trust, which attracted over $3.5 billion in net inflows for 2024, followed by the Fidelity Ethereum Fund with $1.5 billion. These gains were partially offset by the Grayscale Ethereum Trust experiencing net outflows of about $3.6 billion.
The dynamics observed in Ether ETFs are mirrored in Bitcoin ETFs, with BlackRock’s iShares Bitcoin Trust accumulating around $37 billion in net inflows, while the Grayscale Bitcoin Trust faced more than $20 billion in outflows.
Ether has outperformed Bitcoin in both spot and derivatives markets since November, bolstered by increased network activity, particularly from artificial intelligence applications. Ethereum and its layer-2 scaling network Base have become significant platforms for AI agents. Looking forward, estimates from asset manager VanEck predict that Ether’s spot price could reach $6,000 by the end of 2025.
