ETH Plunged 16% in October as Ethereum ETF Outflows Hit All-Time High
Ethereum fell over 16% in October as investors pulled out $1.61 billion from spot Ethereum ETFs, the largest monthly net outflow since the funds' inception.
The cryptocurrency market's seasonal optimism for October, known as 'Uptober,' failed to materialize for Ethereum.
The leading altcoin entered the month following three consecutive months of gains, including an 18.52% surge in July and a 32.60% rally in August.
However, ETH's early momentum was halted near the $2,800 resistance level, triggering a sharp decline toward $2,400 within a week.
ETF Outflows and Market Reaction
A major catalyst for the decline was the record $1.61 billion in net outflows from spot Ethereum ETFs in October.
The funds saw only three days in the green in October, all of which were with modest net inflows: $24.84 million on October 13, $14.96 million on October 21, and $4.35 million on October 23.
The cumulative net inflows for the funds dropped from $13.89 billion at the end of September to $12.29 billion by the end of October.
This outflow marked the largest monthly withdrawal since the ETFs launched, surpassing the previous record of $1.42 billion set in November.
Historical Performance and Outlook
ETH finished the month with a 16.06% drop, though it remains among the top three largest monthly declines of the year.
The asset has already seen larger drops this year, including a 21.69% decline in June, 19.63% in February, and 17.59% in January.
November has proven volatile for Ethereum, with all but the 2015 and 2021 editions seeing double-digit moves.
The most extreme cases were the 59% surge in 2020 and the 43% plunge in 2018.
Related
