The Grayscale Ethereum Trust (ETHE) ETF has recently encountered a significant setback, reporting a notable single-day net outflow of $31 million. This substantial outflow represents a return to a negative flow scenario after a short-lived period of stability.

The $31 million withdrawal marks a sharp reversal from the previous trend, highlighting a renewed period of investor redemptions and suggesting a shift in market sentiment away from ETHE.

According to data from Farside Investors, the historical net outflows from ETHE have now surpassed $2.3 billion.

On August 12, ETHE, a popular Ether exchange-traded fund (ETF), experienced a day of stagnant activity with no net flows—meaning there were neither inflows of new investments nor outflows of existing funds.

The following day, August 13, highlighted a significant rebound. The total net inflows for spot Ether ETFs surged to $24.3 million.

This indicates a robust interest and investment in Ether ETFs across the market, suggesting that while ETHE itself was quiet on August 12, investor sentiment and capital flows into the broader Ether ETF sector were strong and growing.

On August 12, ETHE experienced a significant milestone: it marked its first day without any outflows, ending a series of consecutive daily withdrawals since the ETF’s inception.

This event contributed to a positive shift in the broader spot Ether ETF market, which saw positive flows for the fifth time since these ETFs began trading on July 23.

This improvement in the ETF market occurred alongside a notable uptick in on-chain activity across Ethereum and its layer-2 networks, indicating a broader resurgence in Ethereum-related engagement and investment.