Ethereum ETFs See Record $788M Outflow as Bitcoin Funds Attract $246M

Ethereum ETFs recorded $788 million in outflows this week, the largest. Meanwhile, Bitcoin funds bagged $246 million in inflows.

The shift highlights investor moves in the crypto market as trading prices and regulations shape short-term decisions.

Ethereum ETFs Face Record Withdrawals

Ethereum ETFs saw heavy outflows this past week, totaling $788 million. It is the biggest withdrawal on record for the asset.

The movement happened as Ethereum traded close to $4,300 after a recent decline of 1.8% in one week.

Data from SoSoValue placed Ethereum’s market capitalization at $518.54 billion. The price is currently pegged at $4,295.9 with slight losses in daily trading.

Technical signals show resistance around $4,360 and support near $4,220. Analysts say Ethereum must hold above these levels to avoid further declines.

Meanwhile, on-chain activity showed some of the same pressure. A wallet linked to Metalpha withdrew 11,500 ETH, worth about $49.34 million, from lending platform Aave.

Notably, the funds were then deposited into Binance. This shows large holders are moving coins during this period of ETF outflows.

The past month still shows gains of more than 16% for Ethereum. Part of this comes from the passage of the GENIUS Act.

Notably, the law signed by President Trump ushered in new rules for stablecoin issuers and investors.

However, the law blocks issuers from paying interest but creates a clearer framework for institutions.

Additionally, this change has supported prices in recent weeks, even as ETFs show weakness.

Ethereum ETFs: Bitcoin Attracts $246 Million in New Inflows

While Ethereum ETFs lose funds, Bitcoin products saw gains. Bitcoin funds collected $246 million in inflows this past week.

This suggests investors may prefer Bitcoin for now. Bitcoin trades at $111,578 with a 0.32% gain in 24 hours.

Its market value is $2.22 trillion, far higher than Ethereum’s. This gap shows the ongoing dominance of Bitcoin in the wider crypto market.

In addition, total market capitalization for cryptocurrencies is $3.94 trillion, with a daily volume of $94.49 billion.

Market watchers link the difference in flows between Bitcoin and Ethereum to investor sentiment. Some see Bitcoin as a more stable option in uncertain conditions.

Rates, Regulation, and Market Sentiment

It is worth noting that some market voices remain bullish on Ethereum despite the ETF outflows.

A post by analyst Rekt Fencer predicts Ethereum price could reach $15,000 within six months. The reasons listed include digital asset trusts buying billions in ETH and strong ETF demand.

Stablecoins show trillion-dollar usage, while real-world assets are launching on Ethereum.

Staking rewards add incentives, and the supply is deflationary, with over 30% already staked.

Macroeconomic factors also play a role in the projected shifts. Weak job data in the United States raises the chance of a Federal Reserve rate cut.

Traders now expect an 89% chance of a 25 basis point cut and an 11% chance of a 50 basis point cut.

This environment affects demand for risk assets. Gold prices jumped to $3,600 as investors turned to safer assets. That move draws money away from other markets, including crypto ETFs.

Ethereum still has long-term strengths. It has a deflationary supply, and over 30% of tokens are staked.

New projects, such as real-world assets tokenization, are also building on its network. These factors could support demand over time.

Market participants believe that the record outflows from ETFs suggest caution among investors.

The near-term picture remains mixed. Resistance for Ethereum stands at $4,360 and then $4,420 with support levels at $4,220 and $4,200.

A drop under these points could bring a test of $4,160. For upward momentum to return, Ethereum price must push above key resistance with stronger inflows.