Ethereum News Today: BlackRock's $1B Crypto Shift Sparks Sell-Off Fears, Deepens Market Uncertainty

BlackRock Inc. has moved over $1 billion in Bitcoin and Ethereum to Coinbase Prime, sparking market speculation about a potential sell-off and intensifying scrutiny of the asset manager's crypto strategy amid broader market volatility. On November 17 and 18, 2025, on-chain data revealed, the firm deposited 4,880 BTC and 54,730 ETH-valued at approximately $642 million into Coinbase's institutional trading platform. This follows a prior $198 million ETH transfer, raising concerns that the moves could signal a strategic offloading of holdings.

The transfers occurred as Bitcoin and Ethereum faced significant price corrections, with Bitcoin dipping below $100,000 and Ethereum testing support levels around $2,900. Analysts have interpreted the activity as a bearish signal, noting that BlackRock, once an aggressive accumulator of crypto assets, has not made notable purchases in recent months. "The timing of these moves—amid a broader market downturn—suggests this is more than routine ETF rebalancing," said one market observer, adding that the firm's actions could amplify retail investor anxiety.

Regulatory developments further contextualize the market's unease. The Office of the Comptroller of the Currency (OCC) recently permitted banks to hold Ethereum for gas fees, requiring separate accounts for transactions. While this policy shift could normalize institutional crypto custody, it has also raised questions about how banks might manage large-scale asset movements.

The spotlight on BlackRock's activity comes as alternative crypto ETFs gain traction, potentially diverting capital from Bitcoin and Ethereum. VanEck's Solana ETF (VSOL), launched in November 2025, and Canary Capital's XRP ETF (XRPC)-which saw $58 million in day-one trading volume- highlight a growing appetite for exposure to smaller-cap cryptocurrencies. Meanwhile, 21shares and Bitwise have introduced Solana-focused products, with inflows reaching $46 million in a single week.

The XRP ETF's debut was particularly notable, as it marked the first U.S.-listed spot fund for the asset. Despite a post-launch price dip to $2.27, XRPC attracted $245 million in net inflows, driven by institutional demand. This momentum contrasts with ongoing outflows from Bitcoin and Ethereum ETFs, underscoring a shift in investor preferences toward newer blockchain ecosystems. This momentum contrasts with ongoing outflows from Bitcoin and Ethereum ETFs, underscoring a shift in investor preferences toward newer blockchain ecosystems.

BlackRock's recent crypto activity remains unexplained, with the firm providing no public rationale for its large transfers. However, the firm's historical role as a market bellwether means its actions are closely watched. "If BlackRock is reducing its crypto exposure, it could exacerbate downward pressure on prices," said one analyst. The firm's next moves will likely influence whether the current crypto bear phase deepens or stabilizes.