Bitcoin ETFs Lag Behind Ethereum ETFs in Recent Inflows Ahead of Thanksgiving

In a noteworthy shift in the cryptocurrency market, spot Bitcoin exchange-traded funds (ETFs) in the U.S. have seen significantly lower inflows than their Ethereum counterparts in the days leading up to Thanksgiving. Data from SoSoValue revealed that, between Nov. 22 and Nov. 27, the 12 spot Bitcoin ETFs recorded $32.2 million in inflows, while the nine spot Ethereum ETFs saw a much higher influx of $224.8 million over the same period.

This stark contrast comes amid a period of price fluctuation for both assets. Bitcoin experienced a 2.7% decline in price over the past week, while Ethereum surged by 5.3%, contributing to the divergent trends in ETF inflows. With this in mind, U.S. Ether funds may surpass spot Bitcoin ETFs in weekly net inflows for the first time, depending on how trading unfolds on Nov. 29.

Bitcoin ETFs Still Break Records Despite Slower Inflows

Despite the recent slowdown, spot Bitcoin ETFs have had a record-breaking month in November, surpassing $6.2 billion in net inflows. This figure broke the previous monthly record set in February, as market commentators, including Nate Geraci, pointed out on social media. Bitcoin ETFs had their most significant inflow week between Nov. 18-22, when $3.38 billion flowed into these funds, pushing Bitcoin’s price close to its all-time high of $99,645 by the end of last week.

Ethereum ETFs Benefit from Price Rally and Regulatory Optimism

The surge in Ethereum ETF inflows appears to be directly linked to Ethereum’s impressive price rally. A contributing factor may have been the partial victory of the crypto privacy mixer Tornado Cash in U.S. courts, which could have buoyed investor sentiment. Additionally, growing expectations for a more favorable regulatory landscape have increased interest in Ethereum. This comes after reports suggesting that former SEC commissioner Paul Atkins is a leading candidate to replace Gary Gensler as SEC Chair. A change in leadership under a potential Donald Trump administration has heightened optimism for the DeFi sector and Ethereum’s future prospects.

At the time of writing, Bitcoin was trading at $96,279, up 0.6% in the last 24 hours, while Ethereum was priced at $3,570, down 0.9% in the same period.

This trend of growing inflows into Ethereum ETFs signals a shift in investor preferences, possibly influenced by both market dynamics and regulatory developments. As the crypto landscape continues to evolve, these trends highlight the increasing appeal of Ethereum in the broader digital asset space.