Spot Ether ETFs Log $345 Million of Outflows, Overshadowing BitMine Buying

Ethereum has failed to regain support at $1,600, while heavy outflows from spot Ether exchange-traded funds have outweighed buying by corporations.

Cointelegraph reported on June 30 that US-listed spot Ether ETFs have recorded net outflows of $345 million since June 17. Over the same period, BitMine Immersion Technologies Inc. and SharpLink Gaming Inc. spent a combined $182 million buying Ether, far less than the amount pulled from the funds.

Ethereum has dropped 31% since May, trailing the decline in the broader cryptocurrency market by 8 percentage points. That has fueled concern that the token could fall below support at $1,500.

Metrics across the Ethereum ecosystem have also weakened. Ethereum network fees fell to $10.7 million in June from $24.4 million in April, according to Cointelegraph. Revenue from decentralized applications, or DApps, declined to $51.7 million from $64.8 million over the same period. With fee income shrinking, Ethereum's supply has shifted to an inflationary structure, while staking yields remain around 2.7% a year.

Regulatory uncertainty is also weighing on investor sentiment. The US CLARITY Act has been awaiting a Senate vote since May 15. Disagreements in Congress over stablecoin interest payments and anti-money-laundering provisions have delayed a rebound in institutional demand.

Ethereum supporters remain bullish over the long term, citing the growth potential of real-world asset tokenization. Ethereum-based RWA tokens currently have a market capitalization of $14.5 billion, but that has yet to lead to a meaningful increase in activity across the decentralized finance, or DeFi, ecosystem.