Cryptocurrency exchange-traded products (ETPs) witnessed their first major outflows of 2025, totaling $415 million, according to a report from CoinShares. Bitcoin led this downturn with a staggering $430 million in outflows last week. CoinShares’ James Butterfill attributed the significant outflows to macroeconomic concerns, including U.S. Federal Reserve Chair Jerome Powell’s caution on interest rate cuts and unexpectedly high U.S. inflation data.
The outflows marked the end of a 19-week inflow streak, a period marked by optimism surrounding the U.S. presidential election. Over this period, crypto investment products amassed $29.4 billion, significantly surpassing the $16 billion recorded in the first 19 weeks of U.S. spot ETF launches in early 2024.
Despite Bitcoin’s outflows, ETPs tracking altcoins like Solana, XRP, and Sui experienced inflows. Solana attracted the largest inflows among altcoins, totaling $8.9 million, followed closely by XRP and Sui with $8.5 million and $6 million, respectively. This shift coincides with increasing optimism about potential approval of Solana and XRP exchange-traded funds by the U.S. Securities and Exchange Commission. Bloomberg analysts Eric Balchunas and James Seyffart suggest a 75% approval probability for Solana’s ETF, while XRP’s stands at 65%.
Notably, Ether ETPs recorded minor outflows of $7.2 billion last week, and there were no corresponding inflows into short-Bitcoin products, which instead faced outflows of $9.6 million. The developments highlight Bitcoin’s heightened sensitivity to shifting interest rate expectations, resulting in it bearing the brunt of investor withdrawals.
