Last week, the trend of inflows into cryptocurrency investment products took a sharp turn, experiencing notable outflows as prices for Bitcoin and ether declined.
After a two-week inflow totaling $4.3 billion, the Global Crypto Exchange Trade Products (ETP) recorded a $1.43 billion outflow, as reported on Monday.
The drop primarily affected Bitcoin, with its price fluctuating significantly, and ether, which also faced a reduction, dropping to under $4,100 after starting the week at about $4,250, according to Coingecko.
Last week’s declines represented the second-largest withdrawal ever for Spot Ether Exchange-Traded Funds (ETFs), as nearly $430 million was pulled out just on Tuesday, according to SosoValue.
The largest outflow since March
James Butterfill, the research director at Coinshares, mentioned that the $1.4 billion outflow from the crypto fund marked its biggest decrease since March 2025.
According to Butterfill, this sell-off was linked to growing concern over U.S. monetary policy, along with a pessimistic outlook towards the Federal Reserve, which led to $2 billion in outflows early in the week.
However, sentiment shifted later when Jerome Powell spoke at the Jackson Hole Symposium, leading to a rebound and an influx of $594 million.
Changes in sentiment reflected in Ethereum
Butterfill noted that this shift in sentiment was particularly evident in ether, contributing to a sharp recovery mid-week and leading to a $440 million outflow.
The Bitcoin ETP saw significant growth, accumulating over $1 billion.
Analysts pointed out a remarkable change in sentiment towards Bitcoin and ether. In the current month, Bitcoin has faced a $1 billion outflow in contrast to a $2.5 billion inflow into ether.
Interestingly, the annual inflow for Ethereum makes up 26% of managed assets, while Bitcoin accounts for just 11%, according to Butterfill.
Meanwhile, altcoin movements were mixed: XRP saw inflows of $25 million, Solana gained $12 million, while SUI and Toncoin recorded inflows of $13 million and $1.5 million, respectively.
