Ethereum ETF Bleeds Cash as Traders Bail on Sliding Token
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The iShares Ethereum Trust ETF, ETHA, saw investors pull $58.97 million in a single session on January 28, 2026, underscoring mounting unease around the second-largest cryptocurrency by market value. The outflow, while amounting to just 0.58% of the fund’s $10.22 billion in assets under management (AUM), is notable as it comes after weeks of choppy trading in ether and reflects a growing risk-off tone among crypto-focused investors.
The latest redemption wave suggests that some holders are locking in gains from earlier in the cycle or cutting exposure amid renewed volatility and regulatory uncertainty. Although less than 1% of AUM, such a withdrawal in one day can signal a shift in sentiment, particularly for institutional users who often use ETHA as a liquid proxy for direct ether exposure.
The related asset, ETH-USD, is currently trading at $2,937.58, down roughly 25.0% over the past three months. That decline has erased a significant portion of the token’s prior rally and pushed more tactical traders to the sidelines. Short-term momentum remains fragile, with the 1-day technical signal flashing a cautious Sell, suggesting that chart-based traders still see scope for further downside or, at best, a period of consolidation.
The combination of negative price momentum in ether and fresh outflows from ETHA points to a market in reassessment mode rather than outright capitulation. Long-term investors may view the current pullback as a potential entry point, but the near-term narrative remains dominated by macro risk, liquidity conditions, and the evolving regulatory landscape around spot crypto products.
For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.