Ethereum ETF has been sold off for nine consecutive days, BlackRock ETHA leads redemption

The Ethereum Spot ETF suffered net redemption for the ninth consecutive day, and institutional funds showed a selective hedging trend.

On October 9, the U.S. Spot Ethereum ETF recorded net capital outflows for the ninth consecutive trading day, further extending the longest redemption cycle since the establishment of the fund. Among them, BlackRock's iShares Ethereum Trust (ETHA) is under the heaviest redemption pressure. According to Farside Investors 'capital flow data and real-time market prices, as of October 11, Ethereum prices were hovering around $2500, down from the level of about $2600 at the beginning of the month.

These nine days of continuous outflows have withdrawn approximately US$697 million from relevant funds. For holders, the persistence of redemption behavior is far more critical than single-day data. A single large redemption may be interpreted as a rebalancing of assets by individual investors, but such a long redemption cycle points to widespread and sustained selling pressure on Ethereum funds.

Why does the Ethereum ETF continue to lose blood?

This wave of redemptions began after the category last recorded a net inflow of approximately $17 million on September 28. On every trading day since then, the flow of funds has been negative. The worst day came on October 6, when a total of $201.9 million was withdrawn from the category, setting the largest single-day net outflow in several weeks. Subsequent trading days recorded an outflow of US$160.9 million on October 7, US$72.5 million on October 8, and US$56.1 million on October 9. This steadily declining trend suggests that selling is weakening rather than intensifying.

As of October 7, this category has failed to achieve positive growth for six consecutive trading days, and now the number of days without positive returns has exceeded a week. At the same time, risky assets are in a defensive stage, with rising government bond yields dragging on the crypto market and having a greater impact on Ethereum than Bitcoin.

BlackRock ETHA led the outflow

BlackRock's ETHA funds accounted for the majority of the outflow. On October 6, the fund's $201.9 million redemptions accounted for the vast majority of outflows across the category. By October 9, ETHA's $56.1 million divestment once again constituted almost all of the net redemptions that day.

Gray Ethereum Trust (ETHE) continued to lose assets after transitioning from a closed-end fund, contributing smaller outflows of US$25.8 million and US$6.1 million on October 7 and October 8, respectively. The importance of ETHA is that, as the largest and most liquid spot Ethereum fund, its capital flow is seen as a gauge of institutional investors 'sentiment towards Ethereum-and this month, this vane has always pointed in the same direction.

and Bitcoin funds is quite revealing. According to SoValue data, the U.S. spot Bitcoin ETF recorded a modest net inflow of approximately US$21 million on October 9, breaking the outflow deadlock of the previous two days. During this pullback, institutional funds clearly preferred Bitcoin over Ethereum, and this divergence caused Ethereum to underperform assets with larger market capitalisation.

This divergence is of great significance to the overall interpretation of the market. As the second largest cryptocurrency asset, Ethereum's ETF capital flow has become a leading indicator of traditional investor position adjustments. While Bitcoin funds have stabilized, Ethereum has suffered redemption for nine consecutive days, indicating that the current caution is selective rather than withdrawing from the crypto market completely. However, this has forced Ethereum to bear the burden of caution alone.

What is the future trend of Ethereum?

Ethereum prices have fallen below the $2600 mark held in early October and are testing the lower edge of the range near $2500. These reference points are based on recent trading conditions and are not predictive conclusions.

The next capital flow data will be released when U.S. markets reopen on Monday, October 13. If there is a net return of funds or the redemption rate of ETHA slows sharply, it will be the clearest signal that institutions have exhausted their selling momentum. If net daily outflows continue, pressure will remain on the $2500 area that marks recent lows.

Investors watching the market should focus on two signals next week: first, whether ETHA will experience a fourth consecutive day of shrinking outflows, which will confirm a weakening of selling; second, whether Ethereum can hold on to the support level of $2500, as a break below that level may force funds tracking the asset to further reduce their risk exposure.

目前仍未解之谜在于赎回背后的原因。资金流向数据仅显示资金离开的事实，而非原因。国债收益率上升及更广泛的避险情绪在10月份一直压制加密市场——这也是上周引发11亿美元清算潮的背景因素。因此，这些流出可能反映的是去风险化操作，而非对以太坊基本面的重新评估。