The withdrawal of $2.1 billion from the Grayscale Ethereum Trust

Ethereum (ETH) is facing challenging times. The price of this popular cryptocurrency has experienced a significant drop in recent weeks. Even the launch of Ethereum spot ETFs in the U.S. has not been able to reverse this downward trend.

Investors seem to be turning away from this popular cryptocurrency. Statistics show that in the past week, they have withdrawn a substantial amount of $169.35 million from Ethereum ETFs. But this is just the tip of the iceberg!

The Grayscale ETF Trust (GrayScale) has played a significant role in this capital withdrawal. Over the past two weeks, this trust has seen an astounding outflow of over $2.1 billion. Imagine, investors pulled out more than $1.5 billion from the company’s ETF in the launch week alone!

This massive capital outflow has exerted severe downward pressure on the ETF price, like a destructive storm. It seems that ETF is caught in a vortex of selling pressure with no apparent escape route.