Ethereum ETF experiences net outflow for 3 consecutive days, BlackRock's single-day outflow reaches $44 million

Ethereum spot ETF experienced a total net outflow of $41.9772 million yesterday (January 22, Eastern Time), marking the third consecutive day of net outflows. The data reveals a clear divergence in institutional attitudes: Grayscale continues to buy, while BlackRock has significantly reduced holdings. This divergence reflects differing market judgments on Ethereum’s medium-term prospects.

Institutional Divergence in ETF Flows

According to the latest data, yesterday’s Ethereum spot ETF market showed a “polarized” phenomenon:

BlackRock’s single-day outflow of $44.4437 million far exceeds the combined inflows of Grayscale’s two products, which is the main reason for the overall net outflow. Notably, Grayscale’s two products continue to absorb funds, indicating significant disagreement among institutions regarding Ethereum’s outlook.

Capital Battles in the Market Context

This wave of ETF outflows is not an isolated phenomenon but closely tied to the current market environment:

Price Pressure Intensifies

According to recent reports, Ethereum has fallen 1.31% in 24 hours and 9.30% over the past 7 days, with the current price around $2,976.50. Market analysis suggests Ethereum faces the risk of breaking below $3,000, and this price pressure is prompting some institutions to reduce their holdings.

On-Chain Withdrawal Sentiment Continues

In the past 24 hours, centralized exchanges saw a net outflow of 38,600 ETH, with Binance outflowing 33,900 ETH. The outflows from ETFs and on-chain withdrawals are somewhat correlated, both reflecting rising market risk sentiment.

Macro Environment Turns Cooler

Geopolitical tensions are prompting investors to seek safe-haven assets, with traditional hard assets like gold performing better relative to cryptocurrencies. Under this emotional shift, institutions may prefer to lock in profits or reduce risk exposure.

Significance of Outflow Scale

As of press time, the total net asset value of Ethereum spot ETFs is $17.731 billion, with a cumulative net inflow of $12.344 billion, and ETF holdings account for about 5% of Ethereum’s total market cap. This means that the $41.9772 million outflow yesterday, while not insignificant, represents only a small percentage of the overall scale.

Historically, although BlackRock’s ETHA experienced outflows yesterday, its cumulative net inflow remains at $12.55 billion, indicating that this reduction may be a phase adjustment rather than a complete exit. Grayscale’s ETHE has a long-term net outflow of $5.106 billion, reflecting ongoing redemption pressure, but its mini trust ETH continues to attract funds.

Personal Observations

The continuous outflows may reflect different strategies by institutions at various price levels. Grayscale’s ongoing buying could be positioning at lower prices, while BlackRock’s reductions might be risk management. From this perspective, the divergence in ETF flows is a sign of normal market operation rather than purely negative signals.

Summary

The three-day consecutive net outflow of Ethereum ETFs indeed indicates rising market risk sentiment, but more importantly, it highlights institutional attitude divergence. Grayscale’s persistent buying contrasts with BlackRock’s significant reductions, suggesting differing outlooks on Ethereum’s future. In the short term, price pressure and a cooling macro environment have exerted pressure on ETF funds, but based on historical cumulative data, this may be just normal fluctuation. Future focus should be on whether this outflow trend continues and whether the price can find support around $3,000.