Matrixport: Ethereum Buy-Side Structure Concentrated, or Significant Pullback Possible

On November 3rd, Matrixport offered comments on the market, indicating that the performance of Ethereum ETF remained flat this month. When looking back at historical data, July and August witnessed strong net inflows of $5.2 billion and $4.3 billion respectively. In September, it plummeted to $0.3 billion, and in October it was only $0.6 billion, with limited follow-up funding. The recent buying pressure has been concentrated, mainly contributed by Bitmine. If there is a lack of new institutional funds entering, ETH may still maintain its range-bound trading, and there may even be a possibility of a deeper pullback. The Net Asset Value (NAV) of Bitmine is slightly above the issuance level, enabling it to further issue shares to attract incremental funds, but this would dilute the equity of existing holders; its sustainability is questionable.