Crypto exchange-traded products are ending the year under persistent pressure, with capital continuing to flow out of broad market exposure even as selective bets attract new money.
Last week alone, crypto ETPs recorded $446 million in net outflows, extending a defensive streak that began after October’s sharp market correction.
Key takeaways:
Crypto ETPs posted $446 million in net outflows last week
Total outflows since mid-October have reached $3.2 billion
Investors are rotating rather than exiting the crypto market
Newer XRP and Solana products continue to attract inflows
Data from CoinShares shows cumulative outflows have now reached $3.2 billion since mid-October, suggesting investor confidence has yet to fully recover. That caution stands in contrast to strong year-to-date inflows of $46.3 billion, a figure that masks the reality that much of the year’s gains were concentrated earlier in the cycle.
According to CoinShares research chief James Butterfill, assets under management have risen only about ten percent this year once flows are accounted for, indicating that many investors have seen limited net benefit despite higher headline prices.
Capital Rotates Away From Bitcoin and Ether
Rather than exiting crypto altogether, investors appear to be reshuffling exposure. Products tied to Bitcoin and Ethereum continue to bleed capital, with weekly outflows of $443 million and $59.5 million, respectively. Since newer ETFs entered the market, Bitcoin and Ether products have seen roughly $2.8 billion and $1.6 billion leave their funds.
At the same time, newer offerings linked to XRP and Solana are bucking the trend. XRP ETPs led inflows last week with $70.2 million, while Solana products added $7.5 million. Since their U.S. launches in October, XRP ETFs alone have pulled in more than $1 billion each, while Solana ETFs have accumulated roughly $750 million in net inflows.
Notably, XRP products have yet to record a single daily outflow since launch, and Solana ETFs have seen only a handful of negative flow days. The contrast points to a market that is rotating rather than retreating, favoring assets perceived as offering fresher narratives or asymmetric upside.
Regional Divide Highlights Investor Psychology
The geographical breakdown reinforces that selectivity. The United States accounted for the vast majority of last week’s redemptions, with roughly $460 million in outflows, reflecting a continued risk-off stance among U.S. investors following October’s volatility.
Europe, however, tells a different story. Germany emerged as a notable buyer, posting $35.7 million in weekly inflows and roughly $248 million month-to-date, the strongest regional performance tracked. The steady accumulation suggests German investors are viewing recent price weakness as a buying opportunity rather than a warning sign.
Taken together, the data paints a picture of a market that remains engaged but increasingly disciplined. Broad exposure through legacy products is being trimmed, while capital concentrates in targeted positions. As 2025 draws to a close, crypto ETP flows suggest not capitulation – but a more selective, risk-aware phase of participation.
To close the week, price action in the two largest cryptocurrencies reflects the cautious tone seen in ETP flows. Bitcoin is trading near $87,200, posting mild daily and weekly declines as it consolidates after failing to hold recent highs. Despite the pullback, Bitcoin remains well above key medium-term support levels, suggesting selling pressure is controlled rather than panicked. Ethereum is showing similar behavior, hovering around $2,930 after underperforming Bitcoin on the week. ETH’s softer price action aligns with continued outflows from Ether-based ETPs, even as longer-term fundamentals—such as improving staking dynamics—remain intact. Together, the muted moves reinforce the picture of a market in digestion mode, where capital is cautious but not exiting outright.
