Ether Short Squeeze in the Making? Massive Outflows Hit ProShares UltraShort Ether ETF

Ether Bears Blink as ProShares UltraShort Ether ETF Sees Nearly Quarter of Assets Walk Out

ProShares UltraShort Ether ETF’s ETHD recorded a sharp reversal in sentiment on February 06, 2026, as investors pulled approximately $24.96 million from the fund. With total assets under management now standing at about $106.39 million, the outflow represents roughly 23.46% of the ETF’s AUM — a sizeable vote of diminished conviction in leveraged bearish bets against Ether.

The magnitude of the redemptions suggests that traders who had previously positioned for further downside in Ether are either taking profits or reassessing the risk-reward profile after a turbulent quarter. Such a large single-day flow, relative to the fund’s size, can signal a turning point in positioning even if price action in the underlying asset has yet to confirm a durable shift in trend.

The related asset, ETH-USD, is currently trading around $2,103.73, having shed about 38.88% over the past three months. Despite the heavy outflows from the short Ether vehicle, the near-term technical picture remains grim: the one-day signal is flashing a Strong Sell, underscoring persistent downward momentum and caution among technical traders.

Still, the divergence between continued bearish technicals on Ether and retreating capital from a leveraged short ETF may hint at growing discomfort with crowded pessimistic trades, especially in a highly volatile crypto environment where sharp short-covering rallies are common. For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.