Institutional Sentiment Reverses as Bitcoin and Ethereum ETFs Post Their Largest Weekly Redemptions of 2026

U.S.-listed crypto exchange-traded funds experienced a sharp reversal in institutional sentiment last week, as Bitcoin and Ethereum products recorded some of their largest weekly outflows since launch. The pullback followed a brief resurgence of inflows earlier in January, reinforcing the view that institutional exposure to crypto remains highly tactical amid ongoing market volatility.

Bitcoin spot ETFs led the downturn, posting net outflows of $1.33 billion for the week ending January 23. The figure represents the second-largest weekly redemption on record and marked a decisive reversal from the previous week’s $1.42 billion inflow. Data shows sustained selling pressure throughout the January 20–23 period, with outflows accelerating early in the week before moderating slightly.

Monday opened with $483.38 million in redemptions, followed by the most severe single-day outflow of the week on Tuesday, when $708.71 million exited Bitcoin ETF products. Wednesday and Thursday saw continued withdrawals of $32.11 million and $103.57 million respectively, extending the streak to four consecutive days of net outflows.

As a result, total net assets under management across Bitcoin ETFs declined to $115.88 billion on January 23, down from $124.56 billion just one week earlier. Cumulative net inflows also edged lower, slipping to $56.49 billion from $57.82 billion, while weekly trading volume reached $17.45 billion.

Ethereum spot ETFs mirrored the trend, recording $611.17 million in weekly outflows after attracting $479.04 million in inflows the prior week. The bulk of redemptions came from BlackRock’s ETHA fund, which accounted for $432 million, representing roughly 71% of total Ethereum ETF withdrawals. The remaining $179 million was spread across other issuers.

Selling pressure in Ethereum ETFs was consistent across the week. January 20 and 21 saw the largest daily outflows at $229.95 million and $297.51 million respectively, followed by smaller but persistent withdrawals over the final two trading days. Total assets under management for Ethereum ETFs fell to $17.70 billion from $20.42 billion, while cumulative net inflows declined to $12.30 billion. Weekly trading volume across Ethereum products reached $6.99 billion.

Elsewhere in the crypto ETF market, flows were more mixed. Solana spot ETFs stood out as the only major category to remain positive, attracting $9.57 million in net inflows during the week. The modest gain contrasted sharply with broader risk-off behavior and suggested selective positioning rather than a wholesale retreat from digital assets.

XRP spot ETFs, meanwhile, recorded their first weekly outflow since launch, with $40.64 million exiting the products. The move ended a three-week streak of positive inflows and further underscored the shift toward caution among institutional allocators.

January’s weekly data highlights a clear pattern of alternating inflows and outflows across crypto ETFs. The month began with $458.77 million in inflows during the first week, followed by $681.01 million in outflows the week ending January 9, before the sharp rebound and subsequent reversal. For now, ETF flows appear driven less by long-term conviction and more by short-term positioning as institutions recalibrate exposure in response to price volatility and macro uncertainty.