Ethereum Income ETF Sees Nearly One-Fifth of Assets Walk Out in a Single Day
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The Defiance Leveraged Long Income Ethereum ETF, ETHI, faced a sharp bout of investor skepticism on January 26, 2026, as the fund recorded outflows of $687,612. With total assets under management now standing at $3.74 million, the single-day withdrawal represents roughly 18.4% of ETHI’s AUM, underscoring how quickly sentiment can shift in leveraged crypto-exposed products.
Such a sizable redemption relative to the fund’s size suggests either profit-taking after prior volatility or mounting concern that downside in Ethereum may not yet be exhausted. Leveraged and income-oriented structures like ETHI tend to amplify both price moves and investor reactions, making them particularly sensitive to swings in the underlying asset.
The related asset, ETH-USD, is currently trading at $2,644.68, having shed about 30.3% over the past three months. The short-term tone is equally cautious, with the 1-day technical signal flashing Sell, reinforcing the notion that traders remain wary of further downside or at least continued choppy trade.
Taken together, ETHI’s concentrated outflows and Ethereum’s recent technical and price weakness highlight growing risk aversion around leveraged exposure to the second-largest cryptocurrency by market value. Investors may be rebalancing toward less volatile instruments or waiting for clearer signs of stabilization before re-entering the trade.
For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.