ETH ETFs Start Bleeding Again, but BlackRock Quietly Buys Dip

Market Overview - Ether is experiencing downward pressure, recently pulling back from the $3,000 zone, with current trading around $2,800 and a market cap of $337.7 billion [1] - The US spot ETFs recorded $79 million in outflows on December 1, coinciding with Ether's price losing the $2,800-$2,850 support level [1] Open Interest and Price Movement - Ethereum's open interest (OI) on Binance has dropped significantly from a peak of $12.6 billion in August to $6.2 billion, a 51% decrease, with $6.4 billion in derivative positions disappearing [2] - The price of ETH has declined approximately 43% from its peak of $4,830 to around $2,800 [2] Trader Sentiment - Traders are showing hesitance to re-enter the market due to increasing liquidations, but this reduction in open interest may help clear excess leverage and establish a strong price bottom [3] Institutional Activity - Despite outflows from Ether ETFs, institutional investors are taking advantage of the price dip, with BlackRock purchasing approximately $26.7 million worth of ETH [4] - On-chain data indicates that a trader opened a 2x position on 20,000 ETH, valued at around $56 million, following the recent dip [4] Upcoming Developments - The optimism in the market is partly due to the upcoming Fusaka upgrade scheduled for December 3, which aims to enhance the network's blob space capacity and reduce transaction costs across Ethereum Layer 2 networks [5]