Ether Falls Below $2,400 as ETF Outflows and Regulatory Pressure Weigh

Ether is the core asset used to pay fees, stake funds and access decentralized finance across the Ethereum ecosystem, while its price also reflects on-chain demand and institutional risk appetite. Ether fell as much as 31% in 2026. Market confidence was dampened as the U.S. Senate considered barring exchanges from offering stablecoin yields, prompting public opposition from Coinbase, while the FATF also called for tighter stablecoin regulation.

A March 27 report showed Ether had fallen 6% over two days and briefly retested $2,050. U.S. spot Ether ETFs recorded net outflows of $298 million for six consecutive trading days beginning March 18, while Ethereum’s weekly DEX trading volume fell to $9.4 billion. The latest data on May 6 showed that six-month DEX trading volume had declined a further 53% and DApps revenue had dropped 49%, keeping Ether pinned below $2,400.