ETH Price Drops Amid Rate Hike Expectations, but Outflows Suggest Bullish Sentiment

Ethereum's price has dropped by 2.6% to $2,446 on September 15 as investors await the Federal Reserve's decision on interest rates. The likelihood of a rate hike is high, with CoinGape's prediction markets showing an 80% chance.

Ali Martinez notes that 140,000 ETH, valued at $350 million, has left exchanges within 96 hours, indicating that investors are choosing to hold Ethereum rather than sell despite the expected rate hike. This movement of ETH into staking, ETFs, and long-term holdings suggests a decrease in available supply on exchanges.

The surge in outflows coincides with increased demand for Ethereum, as institutional and speculative investors buy up futures positions. Data from Deribit shows that Ethereum's open interest has risen to $11.77 billion, while SoSoValue reports $121.02 million in inflows into Ethereum ETFs this week alone.