Ether plummeted 28% to $2,110 as investors sought safety amid market volatility. Ethereum network activity dropped 47%, with $447 million in outflows from spot ETH ETFs. Concerns over stock market valuations and AI sector reliance fueled fears of a recession, pushing traders to abandon leveraged ETH positions. Annualized funding rate for ETH futures turned negative, indicating seller confidence over buyers. Other major cryptocurrencies experienced less severe corrections compared to Ether’s 10% underperformance in the last 30 days. $447 million in net outflows from US-listed Ethereum spot ETFs added to Ether’s price pressure. Decentralized exchanges on Ethereum saw a 47% drop in trading volumes from October 2025, reducing incentives for holders. Ethereum co-founder Vitalik Buterin sold $2.3 million in ETH to fund donations for privacy technologies and open hardware. Market sentiment remains cautious amid weakening onchain metrics and macroeconomic uncertainty.

Read more at Cointelegraph: ETH’s Negative Funding Rates May Not Be A Buy Signal This Time