U.S. spot Ethereum ETFs log $169M inflows as Ether holds above $2K

U.S. spot Ethereum exchange-traded funds (ETFs) collected $169 million in net inflows on March 4, 2026, the largest daily total since Jan. 14’s $175 million, according to sosovalue. Ether rose about 3% over the past 24 hours to around $2,130, after briefly slipping below $2,000.

Market specialists attributed the pickup to three drivers: heightened tensions in the Middle East prompting portfolio reviews, investors repricing risk after a prolonged drawdown, and incremental progress on the U.S. regulatory path.

“The Iran conflict has forced investors to rethink how their portfolios are built,” Nick Motz, CEO of ORQO Group and CIO of Soil, told Decrypt. “Digital assets have come back into that conversation as non-sovereign stores of value.”

Offering another perspective, Tim Sun, senior researcher at HashKey Group, pointed to compressed valuations. “The persistent panic of the recent period had already suppressed prices into a range nearing a market bottom. Simultaneously, the marginal clarity regarding the U.S. regulatory path has led some institutional capital to show signs of rehabilitative position-building,” he explained.

Motz indicated that some larger investors who stepped aside during the fourth-quarter decline are re-engaging. In his view, institutions that “sat out” the correction are now “looking at prices and seeing a reset worth deploying into,” with recent ETF interest linked “more to tokenization infrastructure buildout than pure price speculation.” He also cited Bitcoin’s resilience during geopolitical strains as supportive for sentiment across digital assets.

Both Motz and Sun urged caution on calling a firm trend change. Motz characterized current flows as “a tactical rotation inside a still – cautious positioning – not a conviction-driven re-entry.” Sun viewed the setup similarly, describing conditions as “insufficient to confirm” a reversal.

In derivatives, open interest and trading volume in CME-listed Ether options have climbed near their 2025 highs, according to Velo data, indicating greater use of listed contracts for hedging and directional exposure.

By historical marks, Bitcoin and Ether remain more than 40% below their all-time peaks. Many smaller tokens declined further during the fourth-quarter slide that extended into 2026, with some down more than 70%.

As we reported earlier, Ethereum co-founder Vitalik Buterin outlined a “sanctuary tech” vision on X, urging the network to remain neutral, open infrastructure. He cited rising risks from government and corporate surveillance, geopolitical conflict, social media degradation, and concentrated AI power, and noted Ethereum’s limited impact so far.