Ethereum (ETH) price is down nearly 15% since the exchange-traded funds (ETFs) first trading day on July 23. Grayscale’s Trust (ETHE) registered over $2 billion in outflows, creating a relevant selling pressure that could now be “almost over.”
Notably, Grayscale, a leading cryptocurrency asset manager, currently offers two Ethereum spot ETFs: ETHE and the Mini Trust (ETH). The former, however, is being heavily sold due to its higher fees in comparison to the growing competitors.
However, Arkham Intelligence reported a massive 80% drop in ETHE outflows during the week, suggesting “the selling is almost over.” The report shows a 108,800 ETH outflow on Monday against a 24,900 ETH outflow on Friday.
Ethereum (ETH) price analysis
As of this writing, ETH trades at $2,986, testing strong yearly support while still up 31% year-to-date. This impressive performance has attracted institutional and retail investors to the Ethereum ecosystem, now waiting for a breakout upwards.
Whether ETH will manage to bounce back from support or not will depend on the micro and macroeconomics surrounding cryptocurrencies. Interestingly, winning Ethereum traders have been showing optimism, accumulating millions of dollars of the token, as reported by Finbold.
Grayscale’s selling spree could have significantly impacted this cryptocurrency’s price. Therefore, this pressure coming to an end could work favorably for Ethereum, possibly triggering the so-awaited bull run.
Disclaimer: The content on this site should not be considered investment advice. Investing is speculative. When investing, your capital is at risk.
