The post Ethereum Price Plummets Amid $2.1 Billion Outflows from Grayscale Ethereum Trust appeared on BitcoinEthereumNews.com.

Ethereum’s recent price movements have raised significant concerns among investors, with the cryptocurrency largely remaining in a downward spiral. The launch of spot Ethereum ETFs in the United States was anticipated to boost the token, but the outcomes have been disappointing. Notably, Grayscale’s Ethereum Trust (ETHE) has seen a substantial outflow of funds, exacerbating the token’s current market struggles. Discover the factors contributing to Ethereum’s declining market performance amidst the introduction of Ethereum ETFs, with a detailed look at the impact of Grayscale’s capital outflows. Grayscale Ethereum Trust Sees Major Outflows The cryptocurrency market has been closely monitoring the first full week of trading for the US spot Ethereum ETFs, revealing a considerable capital exodus. According to data from SoSoValue, a total of $169.35 million has exited the ETH ETFs in the last week alone. Although this is a significant sum, it is notably lower than the $341 million outflow seen during the ETFs’ debut week. Impact on Ethereum Price A closer look at the primary fund driving this capital movement is essential. The Grayscale Ethereum Trust has experienced an alarming $2.1 billion outflow in the past two weeks. Specifically, during its inaugural week, ETHE registered a net outflow of over $1.5 billion. Such substantial withdrawals have undeniably exerted downward pressure on Ethereum’s price, which continues to struggle despite the anticipated benefits of ETF launches. Analyzing Ethereum’s Price Trends Currently, Ethereum is traded at approximately $2,907, marking a 2.2% drop in value over the past 24 hours. Recent data from CoinGecko highlights that Ethereum has dropped by over 10% in the past week, signaling ongoing struggles within the market. Over the last month, Ethereum’s price has decreased by nearly 8%, showcasing the persistent downward trend. Investor Sentiment and Market Position Despite these challenging times, Ethereum still holds its position as…

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Filed under: News - @ August 4, 2024 5:22 pm