Ethereum News Today: Ethereum's Price Fate Hinges on ETF Flows and Dovish Fed Signals

Ethereum's price trajectory has sparked renewed debate among traders and analysts as U.S. spot Ethereum ETFs resumed inflows after three days of outflows, signaling potential shifts in market sentiment. The token traded near $3,857 on October 21, with key support at $3,800 and resistance near $4,500, according to technical assessments. The 24-hour trading volume surged 35.2% to $45.8 billion, while derivatives volume jumped 57.3% to $114.2 billion, reflecting heightened speculative activity.

The ETF inflows totaled $141.6 million on October 21, led by Fidelity's FETH ($59.07 million) and BlackRock's ETHA ($42.46 million), which contrasts with $145.7 million in outflows reported the previous day, according to a TradingView report, highlighting volatile investor behavior. Bitcoin ETFs also saw robust inflows of $477.19 million, with BlackRock's IBIT dominating at $210.9 million, as Coinpedia reported, underscoring broader crypto market liquidity. Analysts suggest that continued ETF inflows could bolster Ethereum's price, particularly if the U.S. Federal Reserve's upcoming rate decision (October 28–29) signals dovish monetary policy.

Technical indicators paint a mixed picture. Ethereum's daily chart shows it trading below the Bollinger Band midline at $4,146, with resistance at $4,720 and support near $3,563. The narrowing bands suggest an impending directional move, while the relative strength index (RSI) of 41.15 indicates bearish momentum but not oversold conditions. On-chain data reveals Ethereum whales quietly accumulating, with stablecoin usage surging 400%, reinforcing bullish sentiment, according to a TradingView analysis. Additionally, a $500 million liquidity injection into ConcreteXYZ and stablecoin vaults by a major Ethereum holder has raised questions about market influence and systemic risk, according to a TradingView report.

The Fusaka upgrade, set for December 3, 2025, introduces a gas cap of 16.78 million units to enhance network efficiency, potentially attracting long-term investors. Meanwhile, Ferrari's planned 2027 launch of a digital token for Hyperclub members signals expanding crypto adoption beyond payments, though its immediate impact on Ethereum's price remains speculative.

Market context reveals Ethereum's 30-day decline of 21% from its $4,946 peak, with a 6% weekly loss. Despite this, open interest in Ethereum derivatives edged up 0.6% to $43.8 billion, suggesting position rebuilding after recent corrections. Traders remain cautious, with the ETH/BTC ratio and invalidation line at $3,443 serving as critical benchmarks. A decisive close above $4,200 could target $4,500, while failure to reclaim that level may trigger a retest of $3,600–$3,500.