Ethereum price jumped 9% in the past 24 hours

Ethereum price jumped 9% in the past 24 hours, rising above $1,500 after a positive inflation report and the U.S. decision to pause tariffs.

The price of Ethereum rose 9% in the past 24 hours, shifting the Crypto Fear & Greed Index from “Extreme Fear” to “Fear.” However, despite the rebound, institutional investors pulled funds from both Bitcoin and Ethereum ETFs, with the latter seeing $11.2 million in outflows.

As the cryptocurrency market continues to recover, recent data from Chainlink Status revealed that the total cryptocurrency market capitalization has increased by 44% since March 2024. Despite this recovery, institutional confidence in the market remains shaky.

The recent report from digital assets management firm, Arca, highlighted a concerning trend—for the third consecutive week, both Bitcoin and Ethereum funds experienced outflows.

According to the report, the outflows from Bitcoin funds totaled $3 million, while Ethereum funds saw $11.2 million in outflows. These outflows come amidst a period of turbulence in the cryptocurrency market, with several institutions pulling back from their investments.

The report further noted that the outflows from Bitcoin funds were driven by outflows from the purpose (NYSE:URUM) Bitcoin Strategy ETF (NYSE:BIBC) and the IVE Bitcoin (BND).

The report also mentioned that the total outflows from crypto funds reached $14.2 million in the week ending August 9.

The shift in the Crypto Fear & Greed Index from “Extreme Fear” to “Fear” was attributed to the positive inflation report and the U.S. decision to pause tariffs, which ultimately helped to lessen some macroeconomic pressure on the market.

The report also highlighted that the total value locked (TVL) in DeFi protocols dropped to its lowest point since November 2022, falling by 6% to $46 billion.

However, despite the outflows and the decline in TVL, the crypto market does appear to be setting up for a strong 2025, especially with the recent approval of the first Bitcoin futures ETF by the U.S. Securities and Exchange Commission (SEC).

The approval of the ETF, which is set to begin trading on Monday, August 14, signals a significant step in the integration of cryptocurrencies into the mainstream financial system.

As the crypto market continues to navigate this volatile landscape, the actions of institutional investors will be critical in determining the direction of the market in the months to come.