Ethereum’s $10B OI wipeout and ETF exodus: What happens to ETH?

Key Points

1. Ethereum's price dropped below $3,600 after a 10% pullback, with $10 billion in Open Interest wiped out in ten days, indicating a major de-risking event.

2. Realized profits of over $1 billion suggest profit-taking, not panic, as the main driver behind the recent price decline.

3. BlackRock purchased 23,000 ETH ($88 million), signaling smart money buying the dip, but whale addresses decreased by 164 in 30 days.

4. ETH ETF outflows hit a record $500 million in a single day, shifting from steady inflows to a cooldown phase, with Fidelity moving 14,978 ETH ($53.6 million) to Coinbase Prime likely for profit-taking.

5. Ethereum's 4% bounce off lows faces risks from continued outflows and whale sell-offs, with $60 million in liquidity stacked around the $3,500 level.