The iShares Ethereum Trust ETF (NASDAQ: ETHA) experienced a notable surge in short interest during January, reflecting growing bearish sentiment among investors. As of January 15th, the total short interest reached 22,642,115 shares, marking a substantial increase of 68.3% from the December 31st figure of 13,452,690 shares.
This uptick in short selling indicates that 12.5% of the company”s stock is currently being shorted. With an average trading volume of 39,224,685 shares, the short-interest ratio stands at approximately 0.6 days, suggesting a relatively swift turnaround for potential short sellers.
In the market, shares of the iShares Ethereum Trust ETF were down 4.5%, trading at $20.17 during mid-day on Friday. The trading volume for the day was reported at 49,704,429 shares, surpassing the average volume of 41,083,898. Over the longer term, the ETF has a 50-day simple moving average of $22.97 and a 200-day simple moving average of $27.67. Its price has fluctuated significantly, with a one-year low at $10.99 and a high of $36.80.
Institutional investors have been actively adjusting their positions in the iShares Ethereum Trust ETF. In the third quarter, Private Wealth Management Group LLC initiated a new position valued at $26,000, while Atlantic Union Bankshares Corp also acquired a new stake worth $26,000. Activest Wealth Management notably increased its holdings by 252.7%, now owning 864 shares after adding 619 shares in the last quarter, which brings its total investment to approximately $27,000.
Additionally, KERR FINANCIAL PLANNING Corp entered the market with a new stake valued at around $28,000, and Princeton Global Asset Management LLC acquired a position estimated at $31,000.
The iShares Ethereum Trust ETF, launched on July 24, 2024, is designed to invest primarily in long positions in Ethereum while shorting the US dollar. It is passively managed, aiming to track the spot price of ether, minus expenses and fees. This unique structure positions it as a notable player in the evolving landscape of cryptocurrency investment products.
