Ethereum ETF Sees New Year Jitters as Outflows Bite Into Assets
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The Franklin Ethereum ETF, EZET, started 2026 on the defensive, recording outflows of $2,249,200 on January 2, 2026. The redemption pulled roughly 3.92% of its assets under management, which now stand at $57,354,600, signaling a notable bout of investor caution around Ethereum-linked exposure.
The latest move underscores how quickly sentiment can shift in crypto-focused funds. While a roughly 4% drawdown in AUM from flows is not yet a stampede, it is sizeable enough to suggest some investors are locking in remaining profits or reducing risk amid heightened volatility and regulatory uncertainty surrounding spot crypto products.
The related asset, ETH-USD, is currently trading at $3,169.13, having shed about 30.58% over the past three months. Despite that steep drawdown, short-term market signals are more muted, with a 1-day technical stance of Hold. That combination—deep medium-term losses but neutral near-term momentum—helps explain why some investors are stepping aside while others appear willing to wait out the turbulence.
For crypto ETF investors, the EZET outflow highlights the tug-of-war between long-term belief in Ethereum’s network and the short-term drag of price weakness, as portfolio managers reassess how much concentrated crypto risk they can afford at the start of a new year.
For a more detailed analysis and real-time sentiment trends, check the live cryptocurrency prices here.