Investors Double Down on Ether Downside as ProShares’ SETH Pulls in a Wave of New Cash

Short Ether Bets Swell as ProShares Inverse ETF Draws Fresh Cash

The ProShares Short Ether Strategy ETF, SETH, saw a substantial influx of capital on December 17, 2025, with $2,126,070 in new money entering the fund. The latest flow represents roughly 14.6% of the ETF’s $14,561,879 in assets under management (AUM), signaling a notable upswing in investor appetite for downside exposure to Ether.

Such a large single-day flow relative to AUM is unusual for a niche, inverse crypto product and suggests that a segment of the market is positioning either for further weakness in Ether or for short-term tactical trades hedging long spot or futures exposure. With more than one-seventh of the fund’s capital base added in a single move, SETH’s asset base is becoming increasingly sensitive to near-term sentiment shifts around the Ethereum ecosystem.

The related asset, ETH-USD, is currently trading at $2,953.31. Over the past three months, Ether has dropped about 35%, a decline that has likely emboldened contrarian traders seeking to profit from continued volatility via short-oriented instruments. The 1-day technical signal on Ether tilts bearish, standing at Sell, reinforcing the narrative that momentum remains under pressure in the near term.

For SETH holders, the combination of a sharp three-month drawdown in Ether and fresh sell signals may validate the decision to increase short exposure, but it also raises the risk of a sharp reversal should sentiment or macro conditions turn in favor of crypto assets. As Ethereum continues to navigate regulatory headlines, network upgrades, and shifting risk appetite, capital flows into inverse products like SETH will serve as a real-time barometer of how skeptical—or opportunistic—investors have become.

For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.