Unbelievable, Ethereum ETF Trading Volume Reaches IDR 17.6 Trillion!

Ethereum ETF begins trading in the United States. (Photo; Doc. Benzinga)

JAKARTA - The new Ethereum Exchange Traded Funds (ETF) investment product in the United States has just started trading, but the latest data shows that the ether ETF has started trading on the first day positively.

Despite significant outflows from Grayscale's Ethereum Trust (ETHE) of more than 484 million US dollars (IDR 7.74 trillion), the combined total inflows from eight other competitors have pushed the performance to positive.

BlackRock (ETHA) and Bitwise Asset Management (ETHW) funds led the list with respectively recording inflows of US $ 266 million (IDR 4.26 trillion) and US $ 204 million (IDR 3.26 trillion). This pushed total inflows, excluding Grayscale, to reach 590 million US dollars (IDR 9.44 trillion).

"The Ethereum ETF attracted funds amounting to 107 million US dollars (IDR 1.71 trillion) on the first day," Bloomberg analyst James Seyffart tweeted on Tuesday along with related ETF data. "Very solid for the first day."

Trading volume throughout the day for the fund also reached more than 1.1 billion US dollars (IDR 17.6 trillion), double the figure of 600 million US dollars (IDR 9.6 trillion) reached at midday Tuesday, based on available data.

In May, the US Securities and Exchange Commission (SEC) gave initial approval to ETF issuers, paving the way for them to begin listing the funds on exchanges. This decision surprised many crypto industry players at the time.

With the initial euphoria of the deal now subsiding, some analysts expect significant cash inflows into the fund over the next year, which would increase its total assets under management (AUM).

"We may see total AUM of US$5 billion to US$10 billion (IDR 80 trillion to IDR 160 trillion) over the next 12 months," said Katalin Tischhauser, head of investment research at Sygnum Bank's digital asset banking group, quoted from Decrypt.

On the other hand, this shows great optimism towards this Ethereum ETF, considering its potential to attract more institutional investors to the crypto market. This step is expected to provide stability and increase Ethereum's liquidity in the global market.