Ethereum ETF outflows surge to $1.4B in November

The flow of capital into spot Bitcoin and Ethereum ETFs has shown signs of recovery, marking the first week of net-positive inflows since October, following a prolonged period of outflows. This shift indicates a potential stabilization in institutional demand for these cryptocurrencies after a challenging month.

Ethereum developers are preparing for the Fusaka upgrade, the second significant upgrade of 2025, scheduled for December 3. This upgrade aims to enhance the network's capacity and efficiency, following the previous Pectra upgrade. The anticipation surrounding Fusaka is heightened by recent adjustments, including an increase in the block gas limit to 60 million.

Ethereum's price has recently stabilized around $3,000 after a significant rebound in the broader cryptocurrency market, gaining 7.22% following a prolonged correction that saw its value drop from $4,700 to as low as $2,900. This recovery coincides with a notable decrease in open interest in Ethereum futures, which fell from $21 billion to approximately $17 billion in late November.

Ethereum's price has recently declined significantly, trading at around $3,000, which marks a nearly 40% drop from its peak this year. This downturn aligns with a broader crypto market crash, raising concerns about the stability of Ethereum as it approaches the Fusaka upgrade scheduled for December 3.

Arthur Hayes has raised concerns regarding Tether's investment strategy, particularly its significant exposure to Bitcoin and gold, which he warns could lead to substantial financial instability and undermine market confidence in the USDT stablecoin. This warning comes amid a backdrop of declining Bitcoin prices and recent downgrades from S&P Global Ratings, which cited similar vulnerabilities in Tether's financial practices.

Bitcoin, Ethereum, and XRP are experiencing a price recovery, with the United States identified as a significant source of market support. Recent trading data indicates that buying and selling pressures are unevenly distributed, reflecting a shift in trader behavior amidst fluctuating prices.

The cryptocurrency market experienced significant fluctuations, with the total crypto economy declining by 1.84% to $3.09 trillion as of November 29. Bitcoin's price has shown volatility, stabilizing around $90,000 after a notable drop earlier in the month, reflecting a turbulent week for investors.

Arthur Hayes, co-founder of BitMEX, has stated that most Layer 1 (L1) cryptocurrencies outside of Ethereum and Solana are likely to decline significantly, potentially heading towards zero. This assertion highlights concerns about the sustainability and viability of numerous blockchain projects in the current market landscape.