U.S.-listed spot Bitcoin and Ethereum exchange-traded funds saw over $1 billion in outflow in a single trading day on January 21, as investors moved out of the two largest cryptocurrencies during a broader market downturn.
Meanwhile, smaller altcoin-linked products linked to Solana and XRP experienced net inflows, which points to an apparent institutional positioning difference during the most recent volatility.
Bitcoin and Ethereum ETFs recorded more than $1 billion in withdrawals, despite both asset classes recording positive cumulative inflows since inception.
Bloomberg reported that outflows from Bitcoin ETFs were the biggest one-day redemption since November, and came at a time when the conventional risk assets reversed against calmer geopolitical tensions.
The remarks by U.S. President Donald Trump at Davos, where he dismissed military action over Greenland and indicated a halt to tariffs imposed on Europe, contributed to the boost in equities in the U.S., Europe, and Asia.
The iShares Bitcoin Trust at BlackRock recorded the highest outflow of $356.64 million, with Fidelity’s FBTC in second place at $287.67 million. Grayscale’s GBTC still experienced smaller yet steady redemptions and has had a total cumulative net outflow of over $25 billion since conversion.
The HODL was the only big Bitcoin ETF that recorded a net inflow, which was $6.35 million.
Bitcoin ETFs have already registered weekly net outflows of $1.19 billion, while January remains slightly positive overall, with net inflows of $17.56 million.
At the time of writing, Bitcoin was trading at approximately $89,100, a loss of almost 7% over the past week, and the trading volume was decreasing, indicating a low level of activity in the short term.
Ethereum ETFs mirrored the pressure seen in Bitcoin. On January 21, spot Ether ETFs posted net outflows of $297.51 million, following another heavy outflow the previous day.
BlackRock’s ETHA accounted for the bulk of the redemptions, shedding more than $250 million, while Fidelity’s FETH and Grayscale’s ETHE also saw net withdrawals. Grayscale’s lower-fee ETH mini trust was a notable exception, recording a modest inflow.
Despite the outflows, Ethereum ETFs still managed close to $18.3 billion in assets, roughly 5% of Ethereum’s market capitalization.
Ethereum itself briefly reclaimed the $3,000 level before slipping back, trading near $2,900, and was down nearly 13% over the past week.