Institutional withdrawals cause $197 million loss for Ethereum ETFs, setting a worse scenario than Bitcoin's recent dip
At the time of writing, Ethereum (ETH) is trading at $4,203.84, according to CoinGecko, while Bitcoin (BTC) hovers around $115,000. The current trend of Ethereum ETF outflows combined with surging pending ETH unstaking requests is exerting near-term negative pressure on Ethereum’s market sentiment, affecting Bitcoin as well, albeit with some nuanced differences in market reaction.
Ethereum's Near-term Sentiment and Support Levels
Ethereum ETFs saw large outflows, notably a $197 million withdrawal on a single day in mid-August 2025, which was the second-largest daily outflow on record for Ether ETFs. This soured investor sentiment has been reflected by pending ETH unstaking requests reaching a record $3.9 billion, indicating increased cautiousness or potential liquidity-seeking behavior by holders.
Analysts consider $4,400 as crucial support for Ethereum. The combination of ETF outflows and unstaking queue growth has been explicitly noted as "pressuring near-term sentiment" for Ethereum, with $4,400 identified as a critical technical support level below which negative price pressure could intensify.
| Cryptocurrency | Crucial Support Level | Upside Target Factors | |----------------|----------------------|-------------------------------------------------------| | Ethereum (ETH) | ~$4,400 | Upside depends on geopolitical developments and return of institutional inflows; prior resistance around ~$4,800–$4,900. |
Bitcoin's Near-term Sentiment and Support Levels
For Bitcoin, ETF outflows also occurred but were less severe in comparison. Technical support is acknowledged around $115,000 for Bitcoin, with analysts linking upside potential to geopolitical factors and institutional accumulation trends. The overall pullback in Bitcoin price partly reflects profit taking and macro sensitivity in markets.
| Cryptocurrency | Crucial Support Level | Upside Target Factors | |----------------|----------------------|-------------------------------------------------------| | Bitcoin (BTC) | ~$115,000 | Influenced by global macro trends, geopolitical events, and institutional buying momentum. |
Additional Context on ETH Unstaking and Market Impact
While rising unstaking volumes (currently ~1.18 million ETH queued, with delays up to 40 days vs. a normal 3-5 days) raise concerns, data suggests that unstaking does not directly equal immediate selling. Many stakers hold on, waiting for better conditions or DeFi opportunities, which mitigates immediate downward price pressure.
However, when unstaked ETH is finally withdrawn and moved to exchanges, it has historically led to price drops, as seen with large Binance inflows correlating with a 5% ETH price decline in mid-August.
Despite the short-term selloffs, Ethereum spot ETFs have still garnered near $3 billion in inflows during August 2025 cumulatively, showing strong underlying demand but punctuated by intermittent outflows due to profit-taking or tactical shifts.
In summary, the near-term sentiment for Ethereum is pressured by ETF outflows and large unstaking backlogs, with $4,400 as a key support level to watch. Bitcoin sentiment is also cautious but somewhat stronger due to steadier ETF demand and technical support around $115,000. Both cryptocurrencies’ upside remains sensitive to geopolitical developments and institutional interest resuming.
Timothy Misir, Head of Research at BRN, argues that geopolitical developments around U.S.-Ukraine-Russia trilateral talks introduce additional risk: a ceasefire could catalyze Bitcoin's push above $120K, while escalation risks argue for caution. The queue for unstaking Ethereum also surged to new records.
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