- Bitcoin ETFs attracted $142M in inflows as Ethereum ETFs posted sharp outflows, signaling diverging institutional demand.
- BlackRock pressed the SEC to allow staking in ETH ETFs, linking it to tokenized Treasuries and long-term product yield goals.
- ETH/BTC hit a multi-year low near 0.0226 BTC, with charts hinting at a bottom around 0.016 BTC as BTC dominance strengthens.
Bitcoin ETFs recorded $142M in inflows, while Ethereum ETFs faced outflows, with BlackRock pushing the SEC on allowing staking within Ethereum ETFs. Meanwhile, ETH/BTC tested key long-term support, reflecting the diverging institutional sentiment and regulatory focus on staking and tokenization.
Bitcoin ETF Inflows Hold Despite Slowing Pace
Bitcoin ETFs recorded $142.46 million in daily inflows, led by BlackRock’s iShares IBIT fund and Fidelity’s FBTC. In a post by Lookonchain, IBIT added 682 BTC while Fidelity gained 349 BTC, reflecting continued institutional demand.
Despite the broad trend, net flow into Ethereum ETFs turned negative, with Fidelity’s FETH alone shedding 9,242 ETH. “As of May 8, 10 Bitcoin ETFs added a net +1,382 BTC while 9 Ethereum ETFs saw -9,120 ETH outflows,” Lookonchain stated.
Simultaneously, other market indicators suggest a different trend: Grayscale’s mini Ethereum Trust gained 6,485 ETH for the week. These divergences underscore investor preference shifts between proof-of-work and proof-of-stake asset classes.
BlackRock Emphasizes Staking and Tokenized Treasuries
In a regulatory meeting, BlackRock executives laid out the structural case for enabling staking within Ethereum ETFs. The discussion, which included product exposure through IBIT, ETHA, and the $2.9 billion BUIDL tokenized Treasury fund, marked a strategic pivot.
BlackRock’s agenda focused on staking mechanisms, liquidity thresholds, and ETF derivative rules. Reports highlighted the plan’s structure and custody model as part of a broader strategy to extract yield via tokenized U.S. assets.
Recent movements in the sector have reshaped priorities around staking integration and fair-practice standards for crypto ETPs. Regulatory changes are also redefining risk management strategies linked to tokenized bonds and real-world asset exposure.
ETH/BTC Chart Signals Possible Cycle Bottom
Broader market forces are now shaping investor behavior in Ethereum markets, where ETH/BTC touched a multi-year low of 0.022633 BTC. Technical data suggests price action is stabilizing just above long-term support near 0.016 BTC.
The ETH/BTC monthly chart shows the pair declining 70% since its 2021 peak, without counter-trend rallies. The zone near 0.016 has historically acted as a reversal point, suggesting a potential base formation.
Such shifts are prompting firms to recalibrate strategies around Ethereum allocations as BTC dominance expands. The pair’s trajectory may influence ETF structure revisions if Ethereum resumes outperformance in Q3 2025.
