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Despite a challenging backdrop, Ethereum funds surged Wednesday. All major spot Ethereum ETFs—including the iShares Ethereum Trust (ETHA)—gained nearly 7%, according to etf.com data.
Ethereum's price reached around $2,038.19 midday, according to CoinMarketCap, rising about 8% for the day and 9.2% over the past week.
Ethereum ETFs Rebound
This positive movement marks a potential turning point after weeks of downward pressure that drove the cryptocurrency 25.3% to multi-month lows. The second-largest digital asset by market cap has struggled amid market-wide volatility, losing more than 38% of its value over the past year, and investment products tied to it faced sustained outflows.
Ethereum’s performance reflected the broader market's upward movement. ETHA led the way with a 6.8% gain, despite experiencing $40.2 million in outflows on Tuesday, etf.com data show. The Fidelity Ethereum Fund (FETH) and the Grayscale Ethereum Mini Trust (ETH) matched ETHA's gains of nearly 7%.
The price recovery comes as on-chain metrics suggest the cryptocurrency may be approaching oversold territory, with its Market Value to Realized Value (MVRV) ratio dropping to 0.9—a level that has historically preceded price rebounds, according to IntoTheBlock data.
This technical indicator currently sits below one, which many traders view as a potential buying opportunity based on historical patterns that show similar readings have preceded price recoveries.
Outflows Continue Despite Price Gains
Ethereum spot ETFs continue to face headwinds despite the price recovery. ETHA, the largest with $2.4 billion in assets under management, has seen $301 million leave the fund over the past month, according to etf.com data. FETH and ETH have experienced similar trends, with monthly outflows of $112 million and $11.3 million, respectively.
The cryptocurrency's upward movement coincides with reports that Cboe and 21Shares plan to introduce staking options for Ethereum within their ETF products. This would allow ETF investors to earn passive income from their holdings while maintaining accurate tracking of Ethereum's performance.