Crypto Investments Take a Hit: BTC and ETH Lead the Way

Last week, crypto exchange-traded products (ETPs) experienced a significant downturn, with outflows reaching $1. 73 billion. This marks one of the largest outflows since mid-November 2025, according to CoinShares. The shift from the previous week's inflows of $2. 2 billion highlights the market's volatile nature. Bitcoin (BTC) and Ether (ETH) were the biggest losers, with outflows of $1. 09 billion and $630 million, respectively. However, not all cryptocurrencies followed this trend. Solana (SOL) saw inflows of $17. 1 million, while Chainlink (LINK) had minor inflows of $3. 8 million. This mixed performance suggests that investor sentiment is not uniform across the crypto market.The outflows were primarily driven by dwindling expectations for interest rate cuts, negative price momentum, and disappointment that digital assets have not benefited from the debasement trade. Despite the overall negative sentiment, Short-Bitcoin ETPs saw inflows of $500, 000, indicating that some investors are betting against the market. In terms of issuers, BlackRock's iShares ETFs led the outflows with $951 million, followed by Fidelity Investments and Grayscale Investments with $469 million and $270 million, respectively. However, some issuers like Volatility Shares and ProFunds Group managed to post gains, with inflows of $83 million and $37 million. Regionally, the United States saw the largest outflows, totaling $1. 8 billion. The total assets under management in crypto funds fell to $178 billion, down from $193 billion at the end of the previous week. This decline reflects the broader market sentiment and the challenges faced by crypto investments.