Ethereum exchange-traded funds (ETFs) have experienced the largest outflow ever, with the products bleeding $465 million in one day.

This movement marks a major reversal from the momentum seen last month in the Ethereum ETF market.

Record $465M Daily Outflow

According to data from SoSoValue, on August 4, outflows from spot ETH ETFs exceeded $465 million. BlackRocks iShares ETH Trust ETF (ETHA) recorded the largest negative movement, losing approximately $375 million. The Fidelity ETH Fund (FETH) followed closely, with outflows of $55.1 million.

Grayscale’s traditional ETH fund shed $28.0 million while its mini ETHE Trust (ETH) lost $7 million. Notably, the other investment vehicles remained flat for the day.

The outflows come after a strong performance in July, when spot ETH ETFs saw record inflows of $5.4 billion over a 20-day streak, the longest and largest since launch. BlackRock’s ETHA ETF alone attracted $4.2 billion, making it the third-largest ETF by monthly inflows across all asset classes. Fidelity’s FETH and Grayscale’s ETH also posted strong gains, delivering about 48% returns.

During the same period, the price of the second-largest cryptocurrency surged by over 50%, climbing from around $2,468 to $3,862 by the end of July for the first time in six months.

However, SoSoValue shows that this momentum was abruptly halted on August 1 when spot ETH ETFs saw $152.3 million in outflows, led by Grayscale, Bitwise, and Fidelity. Despite the recent retraction, as of August 4, these products have still gained a total of $9.02 billion in inflows.

Elsewhere, spot BTC ETFs are also bleeding, with a total of $333.00 million leaving the products on the same day. BlackRock’s IBIT experienced the biggest withdrawal for the day, with $292.00 million leaving the fund. Meanwhile, Bitwise’s ETF (BITB) recorded the highest net inflow among the investment vehicles yesterday, bringing in $18.74 million.

Market Outlook

Despite the negative flows, CoinGecko data shows that in the last 24 hours, ETH’s price rose by a modest 2.2% to trade at around $3,630 per coin. In the past 30 days, the cryptocurrency’s value has also increased by nearly 44%.

Galaxy CEO Mike Novogratz recently predicted that ETH could outperform BTC in the coming three to six months. He cited market conditions that increasingly favour the formers upside, including corporate adoption and the influx in investor interest towards ETH ETFs. According to him, the cryptocurrency could probably hit the $4000 level a few times this year.