Ether Worth Nearly $1B Left Exchanges Due to Trade War Fears
Ether, the second-largest cryptocurrency, experienced a significant crash on February 4, 2025, as concerns about a potential U.S.-led trade war impacted risk assets. Centralized exchanges recorded a net outflow of nearly $1 billion in ether, marking the highest single-day outflow since January 2024. This movement indicates that traders seized the opportunity to accumulate ETH at a dip, following a price drop to around $2,000. Although prices later recovered to approximately $2,800, overall sentiment remained bearish. Concurrently, ether exchange-traded funds (ETFs) saw record trading volumes, with around $1.5 billion worth of shares traded amidst market volatility. Notably, Eric Trump encouraged investors to consider buying ether, which further contributed to the price fluctuations, pushing it close to $2,900 at one point. The day's events highlight the ongoing influence of macroeconomic factors on cryptocurrency markets and investor behaviors.
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