Ethereum ETF Outflows Triggered by Federal Reserve Rate Hike

A single day of trading exposed just how quickly institutional money can move when the Federal Reserve shifts course. On September 16, BlackRock’s iShares Ethereum Trust, known by its ticker ETHA, saw $110.03 million walk out the door in one session — the largest single-fund redemption recorded across the entire US spot Ethereum ETF market that day. The withdrawal wasn’t an isolated event. It came as part of a broader wave of Ethereum ETF outflows that rattled the sector following the Federal Reserve’s first interest rate hike in three years.

Key takeaways

• BlackRock’s iShares ETHA lost $110.03 million in a single session on September 16, the biggest individual fund redemption of the day.
• Total US spot Ethereum ETF outflows reached $224 million on the same date.
• US spot Bitcoin ETFs faced nearly $296 million in outflows during that same session, with BlackRock’s IBIT accounting for $144.1 million of it.
• Ethereum’s spot price still rose 1.54% on the day, despite the heavy redemptions.
• Cumulative net inflows for US spot Ethereum ETFs remained strong at roughly $13.14 billion.

Large Ethereum ETF Outflows Amid Federal Reserve Rate Hike

The trigger behind the sell-off appears to be macroeconomic rather than asset-specific. Investor reaction to the Federal Reserve’s first rate hike in three years set off a chain reaction across crypto fund products, pushing institutional holders toward the exits on September 16.