Bitcoin price is targeting $67,000 again as the decline halts after the listing. BTC is currently around $66,880. Ethereum ETFs had a strong start, and no one expects them to compete with BTC ETFs in the first hour. What should we understand from the first hour’s data?
Spot Ethereum ETF
COINTURK data shows that ETFs reached over $216 million in volume in the first 50 minutes. As detailed below, the ETHE ETF issued by Grayscale is attracting interest, competing with other alternatives. ETHE volume is thought to be almost entirely sales. This is because it has the worst annual management fee, and people prefer alternatives like BlackRock, Bitwise, and Fidelity for buying.
The good news is that other ETFs have higher volumes than ETHE. If this continues, a few billion dollars in volume could be reached by the end of the day. However, if ETHE volume remains below 50%, we might see net inflows contrary to fears on the first day. BTC and ETH prices started to recover after the 45th minute of the listing. BTC reached $66,982.
Bloomberg’s Eric wrote:
“If we use BlackRock‘s ETF as a proxy, $ETHA volume will be about $50 million after the first hour. If it can exceed $200 million by EOD, it will perform better than our ‘20% of BTC’ estimate (considering $IBIT made $1 billion on its first day). It looks promising, but who knows.”
If we see abnormal movements in volume in the coming hours, we will share them. The ratio of ETHE volume to others will be one of the main things to watch until the market closes today.
