Ethereum (ETH) is facing increased selling pressure in mid-October, falling 4.45% over the past week to $2,503.76 as three key metrics point toward rising exchange supply and weakening demand in the United States market.
Key Takeaways
- Exchange reserves increased from 14.59 million ETH in late September to 14.93 million ETH on October 14.
- Large holders moved tens of millions in tokens to exchanges, including 10,000 ETH sent to Gemini by POAP founder Patricio Worthalter.
- US spot Ethereum ETFs recorded $695.4 million in net October outflows despite a $24.8 million inflow on October 13.
Whales Deposit Tens of Millions to Exchanges
According to CryptoQuant data, centralized exchange reserves of ETH rose from 14.59 million ETH in late September to 14.93 million ETH by October 14, signalling increased market supply. On-chain data firm Lookonchain reported several notable whale movements during this period. Over-the-counter whale wallet 0x8c58 sold 9,996 ETH worth $25 million, locking in $24.48 million in profit after acquiring 52,001 ETH at an average price of $2,162 and selling at $2,632.
Additionally, Patricio Worthalter, founder of the Proof of Attendance Protocol (POAP), deposited 10,000 ETH worth $25.05 million into Gemini, following a previous transfer of 4,000 ETH worth $10.02 million on October 11. Early investor pinosaur.eth, who originally bought 7,459 ETH at $50 nine years ago for $373,000, unstaked their full balance of 9,618 ETH worth $24.58 million and transferred it to Kraken.
Coinbase Premium Drops as ETF Outflows Mount
Demand from buyers in the United States has also cooled. The Ethereum Coinbase Premium Index dropped to -0.1173, reaching its lowest reading in two months. A negative index value indicates that ETH traded at a discount on Coinbase compared to Binance, pointing to reduced US buying demand.
This trend coincides with net redemptions from US spot Ethereum ETFs. Data from SoSoValue shows these funds experienced 10 straight trading days of net outflows through October 12, shedding $782.6 million. Although an inflow of $24.8 million on October 13 ended the outflow streak, net October redemptions remain near $695.4 million. Overall, ETH has declined 6.47% since the start of October and stands 49% below its August 24, 2025 all-time high of $4,946.05. While Ethereum market sentiment has shown periodic strength, recent data underlines growing institutional caution.
Why It Matters
The combination of surging exchange balances, substantial whale deposits, and persistent ETF redemptions indicates structural sell pressure across both retail and institutional channels. When long-term holders cash out multi-year gains while ETF investors pull capital, buy-side liquidity becomes absorbed rapidly. A sustained recovery for Ethereum will likely require institutional ETF inflows to resume and whale distribution to subside.
