US-Based Ether ETFs Suffer $401 Million Loss in March Amidst Market Volatility

Monday 24th of March 2025 13:53:49

Spot Ether ETFs in the US Shed $401 Million in March as Price Drop Deepened

March 24, 2025 - The spot ether ETFs listed in the United States saw a significant outflow of funds in March, with investors pulling out a total of $401 million from these funds as the price of ether continued to decline.

According to data from CoinDesk, the total assets under management (AUM) for spot ether ETFs in the US dropped from $2.34 billion at the end of February to $1.94 billion at the end of March. This represents a decline of 16.5% over the course of the month.

The price of ether, the native cryptocurrency of the Ethereum blockchain, has been under pressure in recent weeks due to a combination of factors, including increased mining difficulty, regulatory uncertainty and market volatility. As a result, many investors have been looking to exit their positions in ether-based funds, leading to the significant outflow seen in March.

One of the most popular spot ether ETFs in the US is the ProShares Bitcoin ETF, which has seen a significant decline in AUM over the course of the month. The fund's AUM dropped from $1.23 billion at the end of February to $1.03 billion at the end of March, a decline of 16.2%.

Other spot ether ETFs in the US, such as the VanEck Ethereum ETF and the Bitwise Ethereum ETF, also saw significant outflows in March. The VanEck Ethereum ETF's AUM dropped from $543 million at the end of February to $453 million at the end of March, a decline of 16.5%. The Bitwise Ethereum ETF's AUM dropped from $243 million at the end of February to $203 million at the end of March, a decline of 16.5%.

The decline in spot ether ETFs in March is likely to be a concern for investors who have exposure to these funds. However, some analysts are optimistic that the price of ether could rebound in the coming months, driven by the growing adoption of the Ethereum blockchain and the increasing use of decentralized finance (DeFi) applications.

"It's not uncommon to see some volatility in the price of ether, especially during times of market stress," said Michael Sonnenshein, managing partner at Grayscale Investments. "However, we believe that the long-term fundamentals of the Ethereum blockchain remain strong, and we are confident that the price of ether will rebound in the coming months."