On May 18th, large investment firms withdrew millions of dollars from U.S. spot Ethereum ETFs as the cryptocurrency market continued to fall and Ethereum’s price neared a key support level. These funds experienced approximately $86.31 million in net outflows, representing six consecutive days of withdrawals and indicating growing concern among major investors due to declining market confidence.
BlackRock’s ETHA fund saw the biggest outflows, with investors pulling out almost $55.4 million. Fidelity’s FETH and Grayscale’s ETH product also experienced significant withdrawals. Despite this, trading in Ethereum ETFs remained high, reaching around $742.4 million, indicating investors were rebalancing their portfolios rather than completely selling off their Ethereum holdings.
Institutional caution pressures Ethereum
Selling of Ethereum has continued for several days. According to CoinGlass, U.S. spot Ethereum ETFs have experienced daily outflows since May 11th, as investors responded to decreasing cryptocurrency values and broader economic concerns. The largest single-day withdrawal happened on May 12th, with investors removing almost 55,840 ETH – around $130.6 million – indicating increased wariness among larger, institutional investors.
There was a short-lived rally on May 14th, driven by small investments into funds from Fidelity, VanEck, and Franklin Templeton. But this quickly faded as investors began pulling money out of the market again. Overall, this indicates that investors were more focused on minimizing risk in the short term than on buying during the dip.
Ethereum’s price is still dropping, currently trading around $2,104, according to CoinGecko. This represents a 9.3% decrease over the last week, wiping out all the gains Ethereum made in April and bringing its price to the lowest point it’s been at since the beginning of the month.
Recent market uncertainty impacted Bitcoin ETFs, with institutional investors pulling back from digital assets overall. Data from SoSoValue shows U.S. spot Bitcoin ETFs experienced about $648.6 million in net outflows on May 18th – one of the biggest single-day drops in weeks.
The BlackRock IBIT fund saw the biggest drop in investment, with nearly $448 million withdrawn by investors. Similar, though smaller, declines occurred in the Fidelity FBTC and Bitwise BITB funds, suggesting that large investors are becoming more cautious as cryptocurrency prices fall.
Analysts watch key technical levels
From a technical analysis perspective, Ethereum’s outlook is weakening. We’re seeing increased selling pressure across the broader crypto market, and Ethereum is struggling to maintain its position. Specifically, the upward momentum is fading as the price hasn’t been able to stay above the $2,300 support level. My indicators, like the MACD, are now showing negative momentum, and the RSI has fallen to around 36, suggesting it may be oversold but also that bearish pressure is building.
As I’ve been monitoring the market, I’ve noticed traders are really focused on the $2,100 level – it’s been holding up the price fairly well recently. If Ethereum were to fall below $2,100, I expect selling pressure could push it down towards $2,000. Looking further down, there’s another support level around $1,750, which we saw buyers step in at during the market dip back in March.
Despite the recent market downturn, some analysts believe prices could rebound. Fundstrat’s Tom Lee, for example, sees the drop below $2,200 as a good time to buy Ethereum, suggesting it’s a potential opportunity for investors.
Lee believes Ethereum’s recent price drop is connected to increasing oil prices and overall economic challenges. He suggests that as oil prices stabilize or fall, Ethereum prices could recover, noting that energy markets are currently having a bigger impact on crypto investor feelings than normal.
As an analyst, I’ve been looking into the recent selling pressure on Ethereum ($ETH), and I believe the biggest factor right now is rising oil prices. Interestingly, we’re seeing the strongest inverse correlation between ETH and oil prices ever recorded – meaning as oil goes up, ETH tends to go down, and we’re seeing that play out currently.
— Thomas (Tom) Lee (not drummer) FundstratDirect.com (@fundstrat) May 18, 2026
Even though investors have been pulling money out recently, long-term interest in Ethereum investments remains strong. U.S. spot Ethereum ETFs have taken in over $11.75 billion since they started, suggesting the current outflows are likely a temporary reaction, not a sign that institutions are abandoning crypto altogether.
Read More
- Re:Zero Season 4, Episode 6 Release Date & Time
- How to Get the Wunderbarrage in Totenreich (BO7 Zombies)
- NTE Drift Guide (& Best Car Mods for Drifting)
- How to Beat Turbines in ARC Raiders
- All Aswang Evidence & Weaknesses in Phasmophobia
- How to Get Necrolei Cyst & Strong Acid in Subnautica 2
- Conduit Crystal Location In Subnautica 2
- Where to Find Prescription in Where Winds Meet (Raw Leaf Porridge Quest)
- Diablo 4 Best Loot Filter Codes
- Best Burst & Full Auto Builds for the M16A4 in BF6
2026-05-19 11:19