Ethereum Tumbles as Rising Fed Rate Hike Odds Trigger Crypto Selloff
Ethereum (ETH) price dropped 5% to $1,826 on Sunday, underperforming Bitcoin’s 2.81% decline amid a broader crypto selloff and reported outflows from Ethereum ETFs.
The total crypto market cap fell 3% in 24h, while Bitcoin dropped 2.81%. ETH’s decline reflects both the wider market selloff and additional Ethereum-specific selling. ETH trading volume rose 82.86% in 24h.
A macro shift, with expectations that the US Federal Reserve will hike interest rates and US Treasury yields rising, dampened investor sentiment amid a strong US dollar.
Boston Fed President Susan Collins indicated that interest rates may need to be raised above recent projections due to persistent inflation and employment data.
This hawkish macro posture presents a severe headwind for risk assets. Higher interest rates raise the opportunity cost of holding speculative assets and tighten financial conditions, directly contributing to the capital outflows and liquidity drains currently seen across the cryptocurrency market.
Traders said the price dipped as long liquidations and elevated trading volume intensified the drop; they amplified selling rather than explaining its initial cause.
A market report recorded about $241 million in ETH position liquidations, roughly 76% of them longs; forced closures can add to downward momentum.
The heavy activity is consistent with selling pressure, but it does not, by itself, explain what started the decline. ETH’s recent swing low is $1,712, with nearby resistance around $1,830–$1,840.
If it holds above $1,712 and reclaims that resistance, it could retest $1,900; a break below $1,712 would weaken the setup. ETF flow data after the November 16 US session is a concrete demand check.
The near term remains weak unless price and fund flows show buyers returning. Traders are monitoring whether ETH holds $1,712 and whether the next ETF report shows net outflows or inflows.
Broad market weakness, reported ETF withdrawals, and sales of 7,500 ETH by an Ethereum Foundation-linked wallet over four days are adding direct supply pressure, while liquidations appear to have amplified the move.Ethereum Tumbles as Rising Fed Rate Hike Odds Trigger Broad Crypto Selloff
Ethereum (ETH) fell 5% to $1,826 on Sunday, underperforming Bitcoin’s 2.81% decline amid a broader crypto selloff and reported outflows from Ethereum ETFs.
The total crypto market cap fell 3% in 24h, while Bitcoin dropped 2.81%. ETH’s decline reflects both the wider market selloff and additional Ethereum-specific selling. ETH trading volume rose 82.86% in 24h.
A macro shift, with expectations that the US Federal Reserve will hike interest rates and US Treasury yields rising, dampened investor sentiment amid a strong US dollar.
Boston Fed President Susan Collins indicated that interest rates may need to be raised above recent projections due to persistent inflation and employment data.
This hawkish macro posture presents a severe headwind for risk assets. Higher interest rates raise the opportunity cost of holding speculative assets and tighten financial conditions, directly contributing to the capital outflows and liquidity drains currently seen across the cryptocurrency market.
Traders said the price dipped as long liquidations and elevated trading volume intensified the drop; they amplified selling rather than explaining its initial cause.
A market report recorded about $241 million in ETH position liquidations, roughly 76% of them longs; forced closures can add to downward momentum.
The heavy activity is consistent with selling pressure, but it does not, by itself, explain what started the decline. ETH’s recent swing low is $1,712, with nearby resistance around $1,830–$1,840.
If it holds above $1,712 and reclaims that resistance, it could retest $1,900; a break below $1,712 would weaken the setup. ETF flow data after the November 16 US session is a concrete demand check.
The near term remains weak unless price and fund flows show buyers returning. Traders are monitoring whether ETH holds $1,712 and whether the next ETF report shows net outflows or inflows.
Broad market weakness, reported ETF withdrawals, and sales of 7,500 ETH by an Ethereum Foundation-linked wallet over four days are adding direct supply pressure, while liquidations appear to have amplified the move.Tinubu Flags Off $3.5bn Bakassi Deep Seaport Construction