Asset Manager Fidelity Invests $60M in Ethereum as ETF Inflows Hit $100M

On Monday, the market saw a significant increase in capital flowing into spot Ethereum Exchange-Traded Funds (ETFs), with $100 million in new investments according to Farside data.

Fidelity, an asset manager, led this rise. Their significant investment not only beats other companies but also puts them ahead of well-known names like BlackRock’s iShares Ether Trust. This positive trend was observed across all US ETFs, with total new money exceeding $4 billion.

Fidelity Leads Spot Ethereum ETF Inflows

The increased investor interest appears to be due to several factors, including recent positive developments regarding the Iran-Israel conflict. This has alleviated global concerns and created a more optimistic market mood. As a result, the price of Ether (ETH) has increased by 7.5%, surpassing the $2,400 mark.

Fidelity’s leading role in Monday’s investment was especially notable, as they invested $60.5 million in their Ethereum ETF. This significant investment involved the purchase of 27,175 ETH from the market, thereby increasing the total new money for Fidelity’s Ethereum ETF (FETH) to an impressive $1.65 billion.

Moreover, Fidelity’s performance on Monday was better than BlackRock’s iShares Ether Trust (ETHA), which received $25.8 million in new money, according to Farside Investors.

Their consistent results also prove the steady, positive performance of spot Ether ETFs. Financial expert Nate Geraci noted that these ETFs have attracted new investments in 25 out of the last 30 trading days, adding nearly $1.5 billion during this period.

Notably, since its inception, the spot ETH ETFs have attracted over $4 billion in new capital, demonstrating strong investor trust. This significant growth occurred despite $4.3 billion being released due to the ETHE unlock event, showing strong underlying demand.

Ethereum Price Action

Ethereum’s price has experienced fluctuations, particularly amid concerns about the Iran-Israel conflict. Earlier in June, ETH struggled to go above $2,700 and then dropped to $2,300 before starting to recover. In the last 24 hours, it has bounced back by 8%, suggesting a return to a more positive outlook.

Despite these price changes, recent data from CoinShares indicates that Ethereum investment products have generated $124 million, marking nine consecutive weeks of positive results.

Major companies such as Fidelity and BlackRock have been key in bringing in this investment. During its current run of positive inflows, ETH has gained a total of $2.2 billion, its best performance since mid-2021.

Adding to the positive outlook for Ethereum, information from the network shows an apparent increase in activity. The number of new ETH addresses each week has consistently been between 800,000 and 1 million, a big jump from the 560,000 to 670,000 new addresses seen last summer.

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