Ethereum Falls 11% Amid ETF Outflows, Eyes Fusaka Upgrade
Ethereum dropped 11% last week to $3,346, mirroring broader market weakness as the Nasdaq fell 4% amid US government shutdown fears, weak corporate earnings and slowing global growth. Spot-based Ethereum ETFs recorded over $500 million in net outflows in November. Ether futures trade at a 4% premium to spot, below the usual 5–10% range, signalling cautious derivatives positioning. On-chain metrics show DeFi total value locked on Ethereum has slid 24% to $74 billion, the lowest since July, despite a 5% rise in active addresses in early November. Traders now focus on the Fusaka upgrade in December, which aims to boost network scalability and security. A rebound to $3,900 will depend on renewed optimism in both crypto and traditional markets.
Bearish
The 11% drop in Ethereum reflects significant ETF outflows and macroeconomic headwinds, driving a bearish short-term outlook. Subdued on-chain metrics and cautious derivatives positioning limit immediate upside. While the December Fusaka upgrade could support long-term price recovery by improving scalability and security, the prevailing uncertainty and weak market indicators suggest resistance near $3,900 is unlikely without renewed bullish momentum from both crypto and traditional markets.