Despite a broader crypto market recovery, major spot ETFs lag behind, while specialized funds like ZCSH and BHYP lead the sector with triple-digit year-to-date returns.
Grayscale Zcash ETF is up 184% year-to-date, holding $917 million in assets, and its ETF conversion erased a prior discount to net asset value.
Bitwise Hyperliquid ETF is up 118% since launching in May, giving investors easy exposure to the Hyperliquid token.
iShares Bitcoin Trust ETF is down 1.3% year-to-date and 31% from all-time highs despite bitcoin's recent surge.
iShares Ethereum Trust ETF is down 7% year-to-date and 43% from last year's highs, reflecting ether's incomplete recovery.
Grayscale Chainlink Trust ETF has posted a positive 6.2% year-to-date return, outperforming most spot crypto ETFs.
Crypto markets are rallying as investors pivot toward risk-on assets, pushing Bitcoin toward $87,000. While major ETFs like IBIT and ETHA remain down year-to-date, niche products like the Grayscale Zcash ETF and Bitwise Hyperliquid ETF are posting triple-digit gains.
ZCSH benefited from both a surge in the underlying Zcash price due to privacy demand and the structural conversion from a closed-end trust to an ETF, which closed the gap between the fund's share price and its net asset value.
The rally is primarily attributed to a general increase in risk-on appetite among investors, as stocks reach record highs and crypto assets appear attractively priced relative to previous peaks.