U.S. spot Ethereum ETFs see about $800 million net outflow this week... largest ever

A record weekly outflow occurred from spot Ethereum (ETH) exchange-traded funds (ETFs). This coincided with a decline in major crypto asset (cryptocurrency) prices, weakening demand from institutional investors.

On the 27th (local time), crypto asset data firm SoSoValue reported that a total of $795.6 million flowed out of spot Ethereum ETFs this week. Weekly trading volume topped $10 billion.

Outflows from large funds were notable. More than $200 million flowed out of BlackRock's spot Ethereum ETF 'ETHA.' However, assets under management (AUM) still exceeded $15.2 billion. Fidelity's 'FETH' recorded a net outflow of $362 million over the same period, showing the largest outflow.

In particular, Ethereum's price fell below $4,000 for two consecutive days on the 25th and 26th, with about $250 million flowing out each day. This marks the worst two-day net outflow since mid-August. Earlier, crypto asset analyst Rachel Lucas told The Block, "The break below $4,000 was the result of the collapse of a technical support level, macroeconomic uncertainty, and chained liquidations."

Ethereum's price later rebounded and recovered the $4,000 level on the 27th, but whether investor sentiment has recovered is unclear. The industry expects ETF fund flows to act as a key indicator of market direction for the time being. On that day, Ethereum was trading in the $4,020 range on Binance's Tether (USDT) market, down about 0.01% from the previous day.