Ethereum Plunges 16% in October as ETF Outflows Hit Record $1.61B
Key Summary
Ethereum plunged 16.06% in October following record spot ETF withdrawals of $1.61B, a major Binance hack, and unfavorable US inflation prints.
Key Bullets
- Ethereum slumped 16.06% during October as spot exchange traded funds suffered a record monthly net outflow of $1.61B.
- Data compiled by SoSoValue shows cumulative net inflows dropped from $13.89B at the end of September to $12.29B by October 31.
- Order books on Binance absorbed heavy selling pressure when the native asset touched a two-month low at $2,150 on October 30.
- Spot funds recorded only three positive inflow days during the entire month, bringing in modest totals like $24.84M on October 13.
Ethereum Drops 16.06% Amid Outflows
Ethereum dropped 16.06% in October after encountering heavy resistance near the $2,800 threshold, according to price tracking records from CoinGlass. The leading altcoin failed to maintain its summer momentum, sinking to a two-month low of $2,150 on October 30 before settling slightly higher at $2,250 by the monthly close. Selling pressure accelerated immediately following the release of September Consumer Price Index and Producer Price Index readings on October 15. The asset closed down for the month.
Trading desks absorbed successive waves of liquidations as multiple recovery attempts stalled below $2,560. Bulls pushed the price toward $2,520 on October 21 without securing sustained volume support on spot order books. October returns lagged far behind prior summer rallies that had produced double-digit percentage gains across July and August. Liquidity dried up completely.
Spot ETF Outflows Hit Record High
Data compiled by SoSoValue indicates that institutional investors pulled a net total of $1.61B from spot Ethereum exchange traded funds during October. This figure surpassed the previous monthly outflow record set last November at $1.42B. Cumulative net inflows across the approved issuer products contracted from $13.89B down to $12.29B over the thirty-day window. Funds bled capital.
Issuers registered only three sessions in positive territory across the entire month. Modest inflows of $24.84M on October 13, $14.96M on October 21, and $4.35M on October 23 failed to offset heavy institutional redemptions. Funds faced constant selling. Traditional finance capital exited rapidly.
Binance Hack Amplifies Market Liquidations
Trading volumes spiked across major venues on October 30 following a massive security breach reported on the Binance exchange. The exploit added severe downward momentum to an already fragile market structure, driving tokens down to the $2,150 floor. Risk desks cut exposure instantly. Order books thinned out.
Historical monthly performance metrics show October frequently delivers sharp volatility for the protocol asset. Analysts reviewing seasonal data note that double-digit moves remain standard for fourth-quarter periods. Traders adjusted risk parameters. Market volatility persisted.
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