Crypto Funds Bleed $173M As Outflows Extend To Fourth Week – Report

[Ben Graham]

Crypto exchange-traded products (ETPs) have extended their negative streak to a fourth consecutive week after US market weakness pushed global funds to over $170 million in weekly outflows.

Crypto Funds Outflows Extend Amid US Weakness

According to the latest CoinShares data, crypto-based investment products recorded their fourth week of outflows amid the negative market sentiment of the past month.

In a Monday report, James Butterfill, head of research at CoinShares, shared that global crypto funds closed the week with negative net flows totaling $173 million, bringing cumulative four-week outflows to $3.47 billion.

Notably, crypto ETPs recorded over $1.7 billion in outflows each of the last two weeks of January as the market sentiment shifted, marking the largest negative net flows since November 2025.

Over the past two weeks, investment products have seen outflows of $187m and $173m, respectively.  The latest figures suggest that the strong selling pressure has slowed, although it has not yet reversed despite improved market sentiment.

“The week began on a more positive note, with inflows of US$575m, followed by outflows of US$853m, likely driven by further price weakness. Sentiment improved slightly on Friday following weaker-than-expected CPI data, with inflows of US$105m,” he detailed.

Meanwhile, ETPs’ trading activity also dropped notably, with volumes falling to $27 billion from a record $63 billion recorded the previous week.

Butterfill noted that the funds also saw a sharp regional divergence in sentiment between the US and the rest of the world. Per the report, the US saw $403 million in outflows last week, while all other regions recorded $230 million in inflows.

Germany, Canada, and Switzerland registered the strongest performance, with inflows worth $114.8 million, $46.3 million, and $36.8 million, respectively.

Altcoins See Selective Resilience

As the report noted, the two leading cryptocurrencies, Bitcoin (BTC) and Ethereum (ETH), saw the worst performance among major assets. The flagship crypto had the weakest sentiment, recording $133 million in negative net flows, fueled by BlackRock IBIT’s $235 million in outflows.

However, short Bitcoin investment products also recorded outflows, totaling $15.4 million over the past two weeks, “a pattern often seen near market lows,” Butterfill added.

Ethereum suffered $85.1 million in outflows, led by BlackRock ETHA’s $112.7 million, while Hyperliquid saw $1 million in outflows.  On the flip side, some altcoin-based investment products saw positive sentiment, continuing to attract fresh inflows last week.

Crypto funds based on XRP led the charge with $33.4 million in inflows, adding to the previous week’s $63.1 million positive flows. Solana ETPs followed second with $31 million inflows, a notable increase from the $8.2 million recorded the week prior, signaling confidence in these assets despite the broader trend.