Fidelity Purchases $154.6M Ethereum Amid Spot ETF Outflows
Ethereum Institutional Demand Surges Amid ETF Redemptions
- Fidelity clients purchased 36,460 ETH, valued at $154.6 million, indicating renewed institutional interest.
- The acquisition comes as spot ETH ETFs faced significant outflows, with $428 million redeemed in a single day.
- BlackRock's fund contributed $310 million to these redemptions.
Market Reactions and Price Dynamics
- ETH prices briefly fell below $4,000 but stabilized around $4,100.
- A sharp selloff on Oct. 14 led to a 6.5% price drop and $145 million in liquidations.
- Analysts suggest that the current pullback could be a "buy zone" ahead of potential highs.
Technical Analysis: Key Levels
- Bulls aim for ETH to surpass $4,000–$4,211 and eventually break the $5,000 level.
- Further targets include $6,250 if bullish momentum continues.
- Support levels to monitor are $3,626 and $3,425 for potential deeper consolidation.
Institutional interest remains strong in Ethereum's applications across DeFi, NFTs, and asset tokenization, bolstered by staking yields. If ETF redemptions decrease, this dip may present a buying opportunity for future gains.