Ethereum ETFs experienced outflows of $145 million on Monday as investors navigated uncertainties from delayed U.S. inflation data and fears of the longest government shutdown in history, contributing to subdued Ethereum price movements around $3,973.
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Ethereum ETFs saw $145 million in outflows on Monday, following $311 million last week, amid macroeconomic pressures.
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Ethereum price rose 0.5% in the past day to $3,973, up 2.3% weekly but down 9.5% monthly, per CoinGecko data.
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Bitcoin ETFs lost $40.4 million yesterday after $1.2 billion outflows last week, showing faster rebound, according to Farside Investors.
Ethereum ETFs outflows hit $145 million amid government shutdown fears and delayed CPI data. Explore how this impacts ETH price and investor sentiment in 2025’s volatile crypto market. Stay informed on key trends.
What caused Ethereum ETFs to lose $145 million amid government shutdown fears?
Ethereum ETFs recorded significant outflows of $145 million on Monday as investors remained cautious due to delayed U.S. inflation data and escalating concerns over a prolonged government shutdown. This marks a continuation of the trend, with $311 million in losses last week, reflecting broader nervousness in the cryptocurrency market. Ethereum’s price, trading at approximately $3,973, showed a modest 0.5% increase over the past day despite these pressures.
How are macroeconomic uncertainties affecting Ethereum price?
The ongoing U.S. government shutdown, now in its 20th day, has heightened investor anxiety, particularly with the Consumer Price Index (CPI) report postponed to October 24. According to data from crypto markets aggregator CoinGecko, Ethereum is up 2.3% from last week but remains 9.5% below its price a month ago. This volatility underscores the interplay between traditional economic indicators and digital assets.
Institutions appear more confident in Bitcoin, with its market dominance near 60%, as noted by crypto analyst Nic Puckrin of The Coin Bureau. Bitcoin ETFs, while also facing outflows of $40.4 million on Monday, had rebounded more quickly from last week’s $1.2 billion losses, per Farside Investors, a U.K. investment firm.
Expert insights highlight the fragility introduced by these events. Bitunix analyst Dean Chen explained that persistent redemptions indicate active passive institutional selling, compounded by shrinking leverage and forced liquidations. The delayed CPI release has emerged as the week’s primary systemic risk, potentially influencing Ethereum toward the $3,700 zone if inflation data exceeds expectations.
Conversely, a softer inflation reading could spur short covering and risk-on flows, aiding a rebound. This view is supported by Ethereum derivatives data, where Jean-David Péquignot, chief commercial officer at Deribit by Coinbase, observed elevated volatility expectations around the CPI, with a defensive short-term tilt but optimistic longer-term undertones.
Prediction markets reflect growing pessimism about the shutdown. On Myriad, a platform owned by COINOTAG’s parent company Dastan, 60% of users now anticipate it lasting 35 days to surpass the 2018-2019 record under former President Donald Trump. Initial doubts have shifted, with users correctly forecasting the extension past mid-October.
The Bureau of Labor Statistics confirmed the September CPI report, originally slated for last week, will now arrive on Friday due to the shutdown. Investors are closely monitoring this for signals on U.S. dollar strength and real yields, which could pressure risk assets like Ethereum.
Frequently Asked Questions
What are the main reasons for recent Ethereum ETFs outflows?
Ethereum ETFs outflows stem from investor concerns over delayed U.S. CPI data due to the government shutdown, leading to $145 million in losses on Monday after $311 million last week. This reflects broader macroeconomic uncertainties impacting digital asset confidence, with Ethereum trading at $3,973 amid these pressures.
How might the upcoming CPI report influence Ethereum price?
The September CPI report, delayed to Friday, could significantly sway Ethereum’s price trajectory. A higher-than-expected reading may strengthen the U.S. dollar and yields, pushing Ethereum lower to around $3,700, while softer data might encourage bullish reactions and support resistance retests, as indicated by derivatives market signals.
Key Takeaways
- Ethereum ETFs face ongoing outflows: $145 million lost on Monday highlights institutional caution amid shutdown and inflation delays, contrasting with Bitcoin’s relative stability.
- Price resilience amid volatility: At $3,973, Ethereum shows a 0.5% daily gain but remains sensitive to macro risks, with weekly upticks of 2.3% offset by monthly declines.
- Monitor CPI for market shifts: Upcoming data on October 24 could trigger rebounds or further pressure; investors should watch for volatility spikes in derivatives.
Conclusion
In summary, Ethereum ETFs outflows of $145 million underscore the vulnerability of the second-largest cryptocurrency to macroeconomic disruptions like the prolonged U.S. government shutdown and delayed CPI reports. With Ethereum’s price holding at $3,973 despite these headwinds, institutional preferences for Bitcoin and prediction market sentiments signal persistent uncertainty. As the situation evolves, staying attuned to inflation data and policy developments will be crucial for navigating the crypto landscape—consider diversifying portfolios to mitigate risks in this dynamic environment.
