Ether's price has sharply declined to $2,110, marking a significant drop of 28% over the past week. This downturn has resulted in the liquidation of over $2 billion in leveraged bullish futures, raising concerns among traders about further price decreases as market sentiment turns bearish.
As of Tuesday, Ethereum spot exchange-traded funds (ETFs) experienced net outflows of $447 million, reflecting reduced institutional interest. During the same five-day period, Ethereum network activity saw a substantial decline of 47%, contributing to the negative outlook among investors.
In contrast to Ether's performance, other major cryptocurrencies have faced smaller corrections, with Bitcoin down 17% and BNB declining 14%. The ETH perpetual futures funding rate turned negative, indicating that sellers are now paying fees, which underscores growing fear among buyers.