Ethereum Under Pressure From ETF Withdrawals, But Price Holds Up
Strong outflows from Ethereum ETFs have been the focus of attention in the digital asset market this week. Despite the outflows of hundreds of millions of dollars from giants like BlackRock, Fidelity, and Grayscale, Ether (ETH) has remained steady above the $4,200 mark, demonstrating the network’s remarkable resilience.
ETFs “turn around,” the market is testing the waters
After a summer of intense capital inflows, the market is witnessing a clear reversal. In just one day, more than $422 million left ETH ETF products, marking the largest outflow in August.
Fidelity was hit the hardest, with its FETH fund losing $156 million, while Grayscale saw more than $210 million flow from its two Ethereum ETF products. BlackRock, the largest fund manager, is also not out of the trend, selling nearly $100 million in a few days.
ETH price “stuck” despite pressure
Normally, a wave of capital withdrawals of this scale can lead to strong selling pressure, but ETH only retreated slightly to $4,100–4,200, holding the key support zone.
This shows that:
External demand from ETFs remains stable, especially from individual and institutional investors who directly hold ETH.
Confidence in the Proof-of-Stake mechanism and Ethereum’s core role in DeFi, NFTs, and Web3 infrastructure has not diminished.
Some “whales” have taken advantage of accumulating when ETH hit support, expecting a rebound.
Signal for the next phase
The fact that ETFs adjust their portfolios does not necessarily mean the end of ETH. On the contrary, this could be a necessary cleansing step after a short-term boom, paving the way for a more sustainable growth cycle.
The market is closely watching whether the $4,200 area can continue to withstand selling pressure. If successful, ETH could regain momentum towards the $4,500 mark in the short term.
👉 For long-term investors, the ETF withdrawal event only emphasizes one thing: Ethereum has overcome the period of complete dependence on ETF cash flow. The “calm” reaction of ETH price is proof of the inherent strength of the world's second largest blockchain ecosystem.