Ethereum Holds Near $2,700 Despite Spot ETF Outflows and Bearish Derivatives Pressure

Ethereum (ETH) is facing weakening institutional demand as US spot ETH exchange-traded funds (ETFs) recorded $50.76 million in net outflows on Oct. 5, extending a five-session losing streak. Since Sept. 29, these ETFs have shed $205.88 million, reducing cumulative net inflows to about $13.75 billion. Despite this, ETH has maintained a price near $2,711, suggesting that the broader market structure remains intact.

Blockchain analytics firm Santiment noted a significant surge in Ethereum’s Age Consumed metric, reaching 580 million token-days on Sept. 30. This spike, roughly nine times the September weekday average, indicates that long-term holders may be repositioning their assets. However, aggregate exchange balances showed minimal changes, rising by about 18,000 ETH on Sept. 30 before falling by roughly 21,000 ETH the next day, suggesting that the activity might not reflect broad distribution by older holders.

In the derivatives markets, Ethereum’s Estimated Leverage Ratio has dropped to 0.66, its lowest level in seven months, signaling a decline in heavily leveraged positions. On Binance, ETH open interest remains near $3.3 billion, up 43% since Aug. 6. Meanwhile, Cumulative Net Taker Volume (CVD) has swung sharply negative, indicating aggressive selling. Despite this, ETH’s price has held steady, absorbing the sell pressure and maintaining its broader advance.

The current market dynamics present a mixed outlook. While ETF investors are withdrawing capital and derivatives traders are selling aggressively, the lack of significant exchange balance changes suggests that the selling pressure may not be widespread. If ETH continues to absorb negative derivatives flow, short sellers could become increasingly vulnerable to a recovery in institutional demand or a shift in funding conditions.