Ethereum ETFs Could Attract $10 Billion in Second Half of 2025
According to Matt Hougan, Chief Investment Officer at Bitwise, Ethereum ETFs could attract up to $10 billion in inflows during the second half of 2025. This prediction is based on the growing momentum around tokenization and the stablecoin narrative.
Hougan stated in a recent post on X that the inflow acceleration will be driven by traditional investors increasingly understanding the narrative of combining stablecoins with stocks on Ethereum. Developments like Robinhood launching tokenized stocks on Arbitrum, an Ethereum Layer 2 solution, and increased stablecoin interest following the Senate's passage of the GENIUS Act in June have bolstered positive sentiment.
Data from SoSoValue shows that U.S. spot Ethereum ETFs saw inflows of $1.16 billion in June, marking the second-best monthly performance since their launch. If this positive momentum continues, these products could surpass the $5 billion cumulative net inflow threshold by their first anniversary on July 23.
Ethereum ETFs recorded a net inflow of $40.68 million on Tuesday, marking three consecutive days of net inflows totaling approximately $150 million. These inflows indicate that traditional investors remain bullish on ETH even as its price has traded within a range.
In contrast, U.S. spot Bitcoin ETFs ended a 15-day inflow streak on Tuesday, recording outflows of $342.25 million and facing bearish pressure.
Several publicly traded companies are also expanding their ETH holdings, emulating Michael Saylor’s strategy with Bitcoin. For instance, Nasdaq-listed Bit Digital secured an additional $21.4 million to enhance its Ethereum treasury strategy. Similarly, SharpLink Gaming revealed it purchased 9,468 ETH last week after raising $24.4 million through an at-the-market facility. Since May, the company has accumulated 198,167 ETH.
Former Bitcoin miner BitMine Immersion Technologies is also planning to launch an Ethereum treasury strategy, aiming to raise $250 million through a private placement.
However, Coinbase analysts have warned that companies replicating this strategy could introduce systemic risks within the crypto market.
Ethereum Price Prediction: ETH Breaks Out of Tight Range, Eyes Symmetrical Triangle Breakout
Ethereum saw $103.53 million in futures liquidations over the past 24 hours, with long liquidations at $24.89 million and short liquidations at $78.64 million, according to Coinglass data.
After bouncing from support near $2,350, ETH broke above the convergence of the 50-day and 100-day Simple Moving Averages (SMAs). This move signaled a breakout from a multi-week tight range between $2,300 and $2,500.
To confirm the breakout, ETH must achieve a solid break above the upper boundary of the key symmetrical triangle pattern while maintaining the SMA convergence as support. A rejection at the triangle’s resistance followed by a fall back into the $2,300–$2,500 range would invalidate the breakout.
The Relative Strength Index (RSI) is above the neutral level, while the Stochastic Oscillator is in the overbought zone. The Moving Average Convergence Divergence (MACD) is testing its signal line—a solid crossover here would accelerate bullish momentum.
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Frequently Asked Questions
What are Ethereum ETFs?
Ethereum ETFs are exchange-traded funds that track the price of Ethereum, allowing investors to gain exposure to ETH without directly holding the cryptocurrency. They are regulated investment products traded on traditional stock exchanges.
How do Ethereum ETFs impact the price of ETH?
Inflows into Ethereum ETFs typically increase demand for ETH, as issuers need to hold the underlying asset. Sustained inflows can create upward price pressure, while outflows may lead to selling pressure.
What is a symmetrical triangle pattern in technical analysis?
A symmetrical triangle is a chart pattern formed by converging trendlines, indicating a period of consolidation before a potential breakout. The direction of the breakout—bullish or bearish—often determines the next price move.
Why are companies adding Ethereum to their treasuries?
Companies are adding ETH to their treasuries as a hedge against inflation, to diversify assets, and to potentially benefit from long-term appreciation, similar to strategies used with Bitcoin.
What risks are associated with investing in Ethereum?
Risks include high volatility, regulatory changes, technological vulnerabilities, market sentiment shifts, and broader macroeconomic factors. Leveraged products like CFDs carry additional risks of rapid losses.
How does staking work with Ethereum ETFs?
Some Ethereum ETFs may engage in staking, where the underlying ETH is used to participate in network validation and earn rewards. This can provide an additional yield for investors, though it depends on the ETF’s structure and regulatory approval.
Disclaimer: This content is for informational purposes only and does not constitute investment advice. Readers should conduct their own research and consult with independent financial advisors before making any investment decisions. Trading leveraged products involves significant risk of loss.