Crypto investment products suffered heavy losses on Thursday as a broad sell-off swept global markets. The total value of the crypto market fell by around 6%, causing one of the largest single-day outflows of the year. Bitcoin and Ether investment products bore the brunt of the decline as investors acted decisively to reduce risk.
In brief
- Bitcoin and Ether ETFs saw nearly $1 billion in outflows in one day, the largest daily outflow since November 2025.
- Risk-off sentiment spread as stocks and gold fell, fueled by tariff threats and heavy losses in tech stocks.
- Bitcoin ETFs posted $978M in weekly losses, pushing January flows into negative territory despite significant assets under management.
- Altcoin ETFs also saw large redemptions as leveraged liquidations accelerated the general crypto sell-off.
Crypto ETF Outflows Hit November 2025 Peak Amid Broad Market Sell-Off
According to data from SoSoValue, almost $1 billion left Bitcoin and Ether funds in a single day. Spot Bitcoin exchange-traded funds were the hardest hit, seeing $817.9 million in outflows.
Interestingly, this exceeded the $708.7 million withdrawn in the previous week and marked the largest daily outflow since November 2025. The sell-off followed a sharp decline in crypto prices, with Bitcoin briefly falling below key technical support levels. Thus, this trend has intensified investor caution.
However, this market weakness was not limited to digital assets alone. Gold prices fell about 4% after recently crossed the $5,300 markaccording to TradingView data. Equity markets also declined with the resumption of tariff threats from the United States.
Market commentators say the drop is linked to President Donald Trump's renewed concerns about global trade and economic growth. Tech stocks were particularly under pressure, with shares of Microsoft falling 10%, reinforcing a general risk-off mood in financial markets.
Several forces combined to cause the decline:
- Growing warnings over tariffs have increased fears of slowing global growth.
- Sharp declines in tech stocks have reduced demand for risky assets.
- High leverage in crypto derivatives has amplified forced liquidations.
- The sharp price declines triggered redemptions of ETFs and funds.
Altcoin ETFs Participate in Sell-Off as Bitcoin Funds Extend Loss Streak
Bitcoin-focused funds extended their losing streak throughout the week. Outflows totaled $147.4 million on Tuesday and $19.6 million on Wednesday, before accelerating significantly on Thursday.
Weekly losses reached $978 million, pushing January flows into negative territory after more than $1 billion in outflows the previous week. Since the start of the month, spot Bitcoin ETFs have seen approximately $1.1 billion in net outflows, underscoring continued investor caution.
Still, Bitcoin ETFs remain a significant force in the market. Assets under management total approximately $107.65 billion, representing approximately 6.5% of the total Bitcoin market value of approximately $1.65 trillion. This magnitude highlights how ETF flows increasingly influence price movements during periods of high volatility.
Altcoin investment products also remained under pressure. Spot Ether ETFs reported $155.6 million in outflows, while XRP-focused funds lost $92.9 million. Solana ETFs saw smaller withdrawals of $2.2 million, following inflows earlier in the week. Ether ETFs now hold approximately $16.75 billion in assets, or approximately 5% of the total market capitalization of Ether.
Broader data from CoinShares showed that total assets in exchange-traded crypto products reached $178 billion at the end of last week, representing 5.7% of the overall crypto market. At press time, the total crypto market value was close to $2.92 trillion, down from over $3 trillion the day before.
Blockchain analytics firm CryptoQuant reported widespread liquidations in derivatives markets. Analyst Darkfost noted that $87.1 million in long positions were liquidated within hours on decentralized exchange Hyperliquid, intensifying the selling and reinforcing downward momentum.
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