Ethereum ETFs Turn Red Again As ETH Battles To Stay Above $4,000

Ethereum ETFs reversed course on October 29, recording $81.44 million in net outflows after two consecutive days of positive inflows.

The redemptions came as ETH price struggled to maintain the important $4,000 level, dropping 2.5% to $3,900 within 24 hours. Cumulative total net inflows for Ethereum ETFs now stand at $14.65 billion, down from $14.73 billion the previous session.

Major Ethereum ETFs Providers Lead Outflow Wave

Fidelity’s FETH experienced the largest single-day outflows at $69.49 million. The product traded at a 0.48% discount with cumulative net inflows reduced to $2.73 billion.

BlackRock’s ETHA saw $21.36 million in net inflows and represents 5.44K ETH added to the product. The fund traded at a 0.49% discount with cumulative flows reaching $14.32 billion.

ETHA remained the only major ETH ETFs product to record positive flows for the session.

Grayscale’s original ETHE product recorded outflows of $12.83 million with 3.27K ETH departing. The fund maintained cumulative net outflows of $4.71 billion since conversion to an ETF structure.

Grayscale’s ETH mini trust saw $16.18 million in redemptions representing 4.12K ETH and cumulative flows stood at $1.56 billion.

VanEck’s ETHV experienced $4.31 million in outflows corresponding to 1.10K ETH. Multiple smaller Ethereum ETFs products showed no trading activity for October 29, including Bitwise’s ETHW, Franklin’s EZET, 21Shares’ TETH, and Invesco’s QETH.

Two-day Winning Streak Ends for Ethereum ETFs

The October 29 outflows interrupted a brief recovery period for Ethereum ETFs. October 28 had brought strong inflows of $246.02 million, with total value traded reaching $1.64 billion.

October 27, $133.91 million in positive flows were recorded, with $1.84 billion in trading volume. The two-day streak is a reversal from prior weakness.

Earlier sessions showed consistent negative pressure on Ethereum ETFs. October 24 recorded outflows of $93.60 million with cumulative flows declining to $14.35 billion.

October 23 saw larger redemptions of $127.51 million, bringing cumulative inflows to $14.45 billion.

Total net assets for Ethereum ETFs declined to $26.60 billion on October 29 from $27.66 billion the previous session.

Bitcoin ETFs also Experience Significant Outflows

Ethereum ETFs were not alone in experiencing redemptions on October 29. Bitcoin spot ETFs recorded substantial outflows of $470.71 million and broke their own four-day winning streak.

The parallel weakness across both major cryptocurrency ETF categories suggests broad-based risk reduction rather than Ethereum-specific concerns.

Cumulative total net inflows for Bitcoin products dropped to $61.87 billion from $62.34 billion. Total value traded for Bitcoin ETFs reached $7.07 billion for October 29, well above Ethereum ETFs trading volume.

The combined redemptions totalled over $550 million across Bitcoin and Ethereum ETFs and are one of the larger single-day outflow events in recent weeks.

Market analyst Ted’s observation that Ethereum declined during this favorable backdrop raised questions about underlying demand. The 2.5% drop to $3,900 happened despite positive macro catalysts that historically supported cryptocurrency rallies.

The $4,000 level has been a key technical support throughout recent trading. ETH’s failure to hold this threshold despite supportive macro developments shows weakness in buying demand.

Traders are monitoring whether this is a “bear trap” before a potential rally or a signal of further downside ahead.