Ethereum Faces $555M Outflows, Potentially Delaying Altseason Amid Bitcoin Lag
The post Ethereum Faces $555M Outflows, Potentially Delaying Altseason Amid Bitcoin Lag appeared on BitcoinEthereumNews.com.
Ethereum experienced significant outflows of $555 million from investment products last week, marking the largest among major cryptocurrencies and highlighting regulatory concerns. Despite exchange balances at their lowest since 2016, Ethereum continues to underperform Bitcoin, delaying any potential altseason led by ETH. Ethereum led crypto outflows with $555 million in exits, driven by U.S. regulatory delays. ETH-BTC ratio remains negative at -0.46, showing Bitcoin’s dominance in market liquidity. Exchange reserves hit a seven-year low, yet investor risk appetite stays low, limiting ETH’s upside potential. Ethereum outflows hit $555M last week amid regulatory hurdles—explore why ETH lags Bitcoin and what it means for altseason prospects in 2025. Stay informed on crypto trends. What caused the recent Ethereum outflows? Ethereum outflows surged to $555 million last week, the highest among major digital assets, primarily due to delays in U.S. regulatory clarity. This marked the first weekly withdrawal in a month, reversing prior inflows and reflecting investor caution. According to CoinShares data, the outflows were predominantly from U.S.-based investors, underscoring Ethereum’s sensitivity to policy developments. Ethereum’s position as a leader in decentralized applications makes it particularly vulnerable to regulatory uncertainty. The stalled U.S. Clarity Act, aimed at providing clearer guidelines for digital assets, has heightened concerns at a pivotal time for ETH adoption. While Bitcoin also saw some withdrawals, Ethereum bore the brunt, with total year-to-date inflows still surpassing last year’s figures but showing signs of strain. Source: CoinShares The market’s risk-off sentiment amplified these pressures, as investors shifted toward safer assets like Bitcoin. Ethereum’s ecosystem, including its staking mechanisms and layer-2 solutions, relies heavily on institutional confidence, which wavered amid the news. This event illustrates the interconnectedness of regulatory progress and capital flows in the crypto space. How is Ethereum underperforming against Bitcoin? Ethereum’s underperformance against Bitcoin is evident in the ETH-BTC…
Filed under: News - @ December 23, 2025 11:28 am