Ethereum’s 40% post-ETF drop is an expected ‘sell-the-news’ reaction – Bitfinex

Ethereum’s 40% post-ETF drop is an expected ‘sell-the-news’ reaction – Bitfinex
фото показано с : cryptoslate.com

2024-8-20 23:45

Bitfinex analysts said Ethereum’s (ETH) 40% decline following the launch of spot ETH exchange-traded funds (ETFs) in the US is an expected “sell-the-news” reaction.

According to the latest edition of the “Bitfinex Alpha” report, Ethereum ETFs are facing substantial challenges as significant outflows continue to weigh heavily on Ether’s performance, exacerbating the asset’s underperformance relative to Bitcoin.

The report highlighted the negative net flows of spot Ethereum ETFs — currently at $420 million in outflows — as the main force driving ETH’s price down in recent weeks.

It added that heavy selling from market makers like Jump Trading and Wintermute, along with a macroeconomic shakeup stemming from Japan’s recent rate hikes, have further contributed to the downtrend.

Ethereum weakness

According to the report, the Ethereum ETF market has seen significant fluctuations in fund flows, contributing to the observed weakness in Ether’s price compared to the broader crypto market.

On Aug. 5, the ETH/BTC pair hit its lowest level in over 1,200 days, dropping to 0.0367 — marking a significant decline from its peak in February 2021.

The report that the ETH/BTC pair has been trending downward since the Ethereum Merge in September 2022, and this recent move further deepens concerns about Ethereum’s relative weakness.

Bitfinex analysts believe a key factor contributing to this underperformance is the impact of Bitcoin ETFs, which have successfully directed passive flows and increased demand toward BTC. This dynamic has left Ethereum ETFs struggling to attract the same level of investor interest, even as they attempt to establish themselves in the market.

The persistent weakness in ETH/BTC suggests that deeper market forces are at play beyond the mere availability of institutional investment products.

Divergent ETF performance

Ethereum ETFs have shown some signs of recovery, particularly with BlackRock’s iShares Ethereum Trust (ETHA), which recorded over $100 million in inflows on two separate occasions in late July and early August. As of last week, ETHA’s cumulative inflows had approached $977 million, indicating some resilience in the face of broader market challenges. 

However, Grayscale’s ETHE has recorded substantial outflows, totaling over $2.4 billion since its conversion to an ETF. This significant outflow reflects a cautious sentiment — or possibly a negative view — among institutional investors toward this specific ETF.

According to the report, ETHE’s struggle can be attributed to its pricing, which was at a 20% discount to the underlying ETH price even weeks after its conversion. This discount, driven by arbitrage traders taking profits, has persisted, leading to continued outflows, although the pace has slowed recently.

Notably, the rate of ETHE outflows has been faster than those from Grayscale Bitcoin Trust (GBTC). On the 20th trading day post-launch, ETHE assets under management stood at 70% compared to pre-launch figures, while GBTC stood at 76.3% for the same period. 

The ongoing trend raises questions about the effectiveness of Ethereum ETFs in balancing market trends between ETH and BTC. The continued underperformance of ETH against BTC suggests deeper market forces at play beyond the mere availability of institutional investment products.

The post Ethereum’s 40% post-ETF drop is an expected ‘sell-the-news’ reaction – Bitfinex appeared first on CryptoSlate.

Similar to Notcoin - Blum - Airdrops In 2024

origin »

BitFinex Tokens (BFX) на Currencies.ru

$ 0 (+0.00%)
Объем 24H $0
Изменеия 24h: 0.00 %, 7d: 0.00 %
Cегодня L: $0 - H: $0
Капитализация $0 Rank 99999
Доступно / Всего 0 BFX

bitfinex ethereum reaction expected sell-the-news etfs post-etf

bitfinex ethereum → Результатов: 126


Фото:

Bitfinex запустила децентрализованную криптобиржу Ethfinex Trustless

Криптовалютная биржа Bitfinex представила новую торговую площадку Ethfinex Trustless на основе Ethereum, которая должна вернуть членам криптосообщества контроль за их средствами в сочетании с преимуществами децентрализованной системы.

2018-9-17 21:41


Фото:

Bitfinex Launches Ethfinex For ‘Trustlesss Trading Experience’ of Ethereum Tokens

Bitfinex, one of the leading cryptocurrency exchanges, announced the launch of a hybrid Ethereum-based exchange. Users will be able to trade over 57 Ethereum based tokens on-chain.  ‘Trustless Trading Experience’ At the time of writing this, Bitfinex is the fifth largest cryptocurrency exchange, having handled over $317 million in the last 24 hours according to data from CoinMarketCap.

2018-9-17 21:00


Bitfinex запустила децентрализованную биржу Ethfinex Trustless

Базирующаяся в Гонконге биткоин-биржа Bitfinex запустила на базе своей гибридной площадки Ethfinex новую децентрализованную платформу для торговли криптовалютами под названием Ethfinex Trustless. Introducing Ethfinex Trustless — an Ethereum based trading solution placing security, privacy and control in the hands of the user.

2018-9-17 18:33


Bitfinex анонсировала появление децентрализованной площадки Ethfinex Trustless

Биржа криптовалют Bitfinex на базе своей гибридной торговой площадки Ethfinex в этот понедельник запускает новую децентрализованную биржу Ethfinex Trustless. Introducing Ethfinex Trustless — an Ethereum based trading solution placing security, privacy and control in the hands of the user.

2018-9-17 17:54


Myetherwallet Suffers More Attacks than Any Other Ethereum Wallet

MyEtherwallet has been known to be one of the Largest Ethereum wallets in the Crypto sphere and has major encounters and breach of security which puts users tokens at huge risks. Phishing Attacks have been on the rise with popular exchanges like binance,bittrex and bitfinex always getting cloned by impersonators and most time they still […] The post Myetherwallet Suffers More Attacks than Any Other Ethereum Wallet appeared first on ZyCrypto.

2018-9-17 16:31


Berkeley Professor Questions Stablecoin Viability in Unflattering Op-Ed

University of Berkeley Professor Barry Eichengreen has taken a swipe at the viability of stablecoins in an op-ed published on Project Syndicate. The critique, entitled “The Stable-Coin Myth,” argues stablecoins are not automatically "viable" just because they are pegged to an asset, though Eichengreen does believe they have an advantage over "conventional cryptocurrencies" such as bitcoin which he says "is highly unstable" and "unattractive as units of account.

2018-9-13 18:07


Число коротких позиций по Ethereum достигло рекордных значений

Количество медвежьих позиций по Ethereum (ETH) на бирже Bitfinex обновило исторический максимум. На момент написания материала количество коротких ордеров в паре ETH/USD составляет около 200 000.

2018-9-8 11:53


Количество коротких позиций по Ethereum достигло исторического максимума

Число медвежьих позиций по Ethereum (ETH) на бирже Bitfinex обновило исторический максимум. На момент написания материала количество коротких ордеров в паре ETH/USD составляет около 200 000. Вчера этот показатель достигал 211 000, что является самым высоким значением за все время.

2018-9-8 10:02


Фото:

BTC and Crypto Volatility is Why We Won’t See a Bitcoin ETF Soon

Red! Red! Red! is what many traders are seeing when they log into their favorite crypto exchanges or check coinmarketcap.com. Many savvy traders who had set stop losses, minimized their risks as some headed to BitMEX and Bitfinex to try and cash in on shorting their favorite digital assets of Bitcoin (BTC), Ethereum (ETH) and […] The post BTC and Crypto Volatility is Why We Won’t See a Bitcoin ETF Soon appeared first on Ethereum World News.

2018-9-6 09:40


Курс Ethereum обновил минимум

Курс Ethereum снизился до уровня $270 за монету за сутки 13 августа по данным Coinmarketcap. Таким образом, падение за сутки составило более 15%.   Курс ETH/USD, Bitfinex, с 01/01/2018 по 14/08/2018 В течение суток курс ETH на отдельных биржах опускался до $250.

2018-8-14 08:30


Доля SIMEX в объеме торгов ethereum среди топ-5 криптобирж превысила 50%

Биржа криптовалют SIMEX, появившаяся на рынке около месяца назад, сегодня в моменте оказалась лидером среди топ-5 криптобирж по дневным оборотам ethereum. По данным сайта Cryptocompare, к 15. 00 (мск) доля на долю площадки приходилось более 50% ежедневных торгов ethereum.

2018-7-26 18:18


Новый игрок угрожает Bitstamp, Coinbase и Bitfinex?

Около месяца назад в пятерку крупнейших криптобирж мира по дневным оборотам ворвался новый игрок – SIMEX. Однако столь существенное изменение на рынке осталось практически незамеченным. Мы узнали, кто смог составить конкуренцию Bitstamp и Coinbase, что связывает криптобиржу с Россией и как ей удалось взять под контроль около 20% ежедневных торгов bitcoin и ethereum.

2018-7-19 08:31


Биржи Bit-Z и CoinBene новые лидеры по суточному объему торгов криптовалютой

Сингапурская CoinBene и гонконгская Bit-Z возглавили рейтинг CoinMarketCap по суточному объему торгов, обойдя гораздо более известные торговые площадки OKEx, Binance, Huobi и Bitfinex. По данным популярного аналитического сервиса, суточные объемы торгов на CoinBene и Bit-Z составляют 1,99 и 1,5 миллиарда долларов США соответственно.

2018-6-26 17:55


Цена биткоина растёт после резкого падения в начале недели

Цена биткоина поднимается в пятницу после резкого падения в начале недели. Об этом свидетельствуют данные торгов. По данным портала CoinMarketCap, по состоянию на 10. 15 биткоин дорожал на 1,69% — до 6,624 тысячи долларов.

2018-6-15 11:39