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Bitcoin ETFs suffer second-largest weekly outflow
Spot Bitcoin exchange-traded funds (ETFs) logged a dramatic $1.33 billion net outflow for the week ending January 23, marking the second-largest weekly redemption on record. The move reversed the prior week's strong institutional buying and underscores how market volatility is prompting many investors to pare back crypto exposure.
Daily pressure concentrated early in the week
Selling pressure was concentrated between January 20 and 23. Monday saw $483.38 million withdrawn from Bitcoin ETFs, while Tuesday recorded the week's largest single-day exodus of $708.71 million. Midweek outflows were smaller but persistent: $32.11 million on Wednesday and $103.57 million on Thursday. As a result, total net assets under management across Bitcoin ETFs declined to $115.88 billion on January 23, down from $124.56 billion a week earlier.
Ethereum spot ETFs also see large redemptions
Ethereum spot ETFs mirrored the flight from risk assets with $611.17 million in net outflows during the same week. BlackRock’s ETHA led the withdrawals, accounting for approximately $432 million — roughly 71% of the total — while the remainder came from other funds. Daily redemptions were front-loaded, with January 20 and 21 posting $229.95 million and $297.51 million in outflows respectively, followed by smaller $41.98 million and $41.74 million pulls.
Assets and volumes decline
The aggregate net assets for Ethereum ETFs fell to $17.70 billion on January 23 from $20.42 billion on January 16, and cumulative net inflows for Ethereum-based products dropped to $12.30 billion from $12.91 billion. Weekly trading volume across Ethereum ETFs hit $6.99 billion, reflecting active rebalancing by institutional holders.
Altcoins and other ETF flows
Not all spot crypto ETFs were negative. Solana spot ETFs posted $9.57 million in inflows, the only major positive outcome among flagship altcoin ETFs that week. By contrast, XRP spot ETFs logged their first weekly outflow since launch, with $40.64 million withdrawn after three consecutive weeks of inflows.
Context and recent trends
The outflows followed a week of strong institutional buying that had produced $1.42 billion in inflows for the week ending January 16. Earlier in January ETFs oscillated between inflows and outflows: the week ending January 2 saw $458.77 million of inflows, while the following week ending January 9 recorded $681.01 million in outflows. Cumulative total net inflows for Bitcoin ETFs eased to $56.49 billion from $57.82 billion, while weekly trading across Bitcoin ETFs reached about $17.45 billion.
What this means for investors
The sudden withdrawals highlight how quickly institutional sentiment can change in response to macroeconomic news and short-term volatility. For portfolio managers and crypto-focused investors, the data reinforce the need for disciplined risk management when allocating to spot ETFs. Meanwhile, products tied to Solana and other altcoins may offer diversification benefits if inflows stabilize.
As regulators, asset managers, and traders continue to adapt to rapidly evolving market dynamics, monitoring ETF flows remains a critical indicator of institutional appetite and market health for Bitcoin, Ethereum, and other liquid crypto assets.
Source: crypto
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