Ethereum News Today: Ethereum ETFs Suffer $465M Record Outflow Amid ETH Price Drop

U.S. spot Ethereum exchange-traded funds (ETFs) faced a record $465 million in net outflows on August 4, 2025—the largest single-day redemptions since the products launched [1]. This marked a reversal from a 21-day streak of consecutive inflows that had propelled Ethereum ETFs to a cumulative $5.4 billion in net inflows during July [2]. The outflows followed a sharp decline in ETH prices over the weekend, with the altcoin falling to a low of $3,380 before rebounding slightly in the following days [3].

BlackRock’s iShares Ethereum Trust (ETHA) was the most affected, with nearly $375 million in redemptions driven by a 101,975 ETH sale [4]. This significant withdrawal by the largest ETF provider in the space signaled a shift in investor behavior amid growing market uncertainty. Fidelity’s FETH fund also reported outflows of $55.1 million, while Grayscale’s Ethereum Mini Trust and Ethereum Trust experienced redemptions of $28 million and $6.9 million, respectively [5]. Cumulative August outflows had already reached $152 million as of Friday, adding to concerns about investor caution [6].

Despite the outflows, Ethereum ETFs continue to hold $9.02 billion in assets under management, and ETHA still maintains a cumulative net inflow of $9.3 billion and net assets of $10.7 billion [7]. BlackRock emphasized that the outflow was a strategic adjustment in response to evolving market conditions, and the firm reiterated confidence in Ethereum’s long-term fundamentals [8]. Fidelity’s FETH fund also remains in positive territory overall, with $2.2 billion in cumulative inflows [9].

On-chain data, however, suggests that institutional demand for Ethereum remains strong. According to blockchain analytics firm Lookonchain, over $3.1 billion worth of ETH has been accumulated by large wallets since early July, with three wallets believed to belong to whales or institutions purchasing 63,837 ETH through OTC transactions with FalconX and Galaxy Digital [10]. These movements indicate that long-term investors are undeterred by the recent ETF redemptions.

Ethereum’s price, which had risen to nearly $3,858 in early August, has since stabilized and gained 3% over the past 24 hours to trade at $3,670 [11]. Analysts have pointed to the possibility that the outflows may reflect short-term strategic rebalancing rather than a fundamental bearish shift in sentiment [12]. However, if the trend persists and ETH’s price remains volatile, further redemptions could signal a broader correction in the crypto market.

The sudden reversal contrasts with the strong momentum seen earlier in 2025, when Ethereum’s price rose from under $2,300 in February to nearly $3,300 by mid-June [13]. The market is now at a critical juncture, with investors closely watching ETF inflow-outflow dynamics and Ethereum’s price movements for further signals.

Source:

[1] title: Ether ETFs Hit With Record $465 Million Daily Outflow (url: https://coinpaper.com/10356/ether-et-fs-hit-with-record-465-million-daily-outflow)

[2] title: Ethereum News Today: BlackRock's 101975 ETH Sale ... (url: https://zycrypto.com/blackrock-leads-us-spot-ether-etfs-record-465-million-one-day-bloodbath/)

[3] title: Ethereum ETF Faces $465M Outflows as BlackRock Sells 101K ETH (url: https://coinmarketcap.com/community/articles/6891f5b87c289c157e579989/)

[6] title: Ethereum ETFs Face Record $465M Outflow as July Bull ... (url: https://www.ainvest.com/news/ethereum-news-today-ethereum-etfs-face-record-465m-outflow-july-bull-run-pauses-2508/)

[7] title: U.S. Spot Ethereum ETFs See Record $465M Daily ... (url: https://cryptodnes.bg/en/u-s-spot-ethereum-etfs-see-record-465m-daily-outflows-as-bullish-streak-pauses/)

[10] title: Ethereum ETFs Bleed $465M as August Opens With a ... (url: https://coindoo.com/ethereum-etfs-bleed-465m-as-august-opens-with-a-harsh-correction/)

[11] title: Mixed Signals as ETFs Bleed Millions, Bitcoin, Ether Rise (url: https://www.coindesk.com/daybook-us/2025/08/05/mixed-signals-as-etfs-bleed-millions-bitcoin-ether-rise-crypto-daybook-americas)