Crypto Funds See $1.17 Billion Outflows as Altcoins Attract Inflows

In Brief

• Bitcoin and Ethereum funds saw $932M and $438M in outflows, reflecting bearish sentiment.
• Solana led altcoin inflows with $118M last week and $2.1B over the past 9 weeks.
• US saw $1.22B in outflows, while Germany and Switzerland recorded positive fund inflows.

Digital asset funds saw $1.17 billion in outflows last week, led by selling in the US market. Heightened volatility and concerns over a delayed interest rate cut triggered cautious behavior among investors.

Bitcoin investment products faced $932 million in redemptions, while Ethereum followed with $438 million in outflows. In contrast, short Bitcoin ETPs attracted $11.8 million, marking their strongest inflow since May 2025.

US spot Bitcoin ETFs experienced the third-largest weekly outflow on record, with $1.22 billion leaving the market. Friday alone saw $558.4 million in redemptions, showing growing investor caution before the weekend.

Despite this trend, ETP trading volumes stayed elevated at $43 billion, supported by short-term optimism midweek over the US government shutdown. However, renewed outflows resumed by Friday after optimism faded again.

Altcoins Remain Resilient as Market Shows Mixed Signals

While major tokens faced pressure, select altcoins remained in favor, with Solana leading inflows at $118 million last week. Over the past nine weeks, Solana has attracted $2.1 billion, indicating strong investor interest.

HBAR added $26.8 million, while Hyperliquid saw $4.2 million in inflows, showing growing confidence in emerging blockchain platforms. Meanwhile, Germany and Switzerland recorded $41.3 million and $49.7 million in inflows, respectively.

Bitcoin is currently trading at $106,308.22, gaining 4.70% in the last 24 hours and 0.31% over the last hour. The weekly trend remains slightly negative with a 1.10% decline, suggesting earlier pullbacks despite recent gains.

The short-term momentum appears bullish, although longer-term sentiment remains mixed due to persistent macroeconomic pressures. As institutional sentiment remains fragile, capital rotation into altcoins highlights selective confidence amid market uncertainty.