Digital asset investment products faced heavy withdrawals last week, with outflows reaching $812 million, the largest weekly drawdown of the year.
The bulk of the pressure fell on Bitcoin and Ethereum products, while Solana and XRP managed to draw inflows. The divergence has fueled debate over whether capital is rotating toward altcoins or whether investors are simply adjusting exposures in response to shifting macro conditions.
Macro Data and the Pressure on Bitcoin
Economic indicators in the United States were stronger than expected. Durable goods orders came in above forecasts, and revised gross domestic product numbers reduced confidence in earlier expectations for multiple Federal Reserve rate cuts this year. That shift weighed heavily on risk assets, including digital assets.
Bitcoin products recorded $719 million in weekly outflows, while Ethereum products saw $409 million leave, their largest weekly decline of 2025.
Combined, these two accounted for nearly all of the net outflow. Short Bitcoin funds, however, only recorded $1.2 million of outflows, suggesting that investors were not doubling down on bearish positioning but rather pulling back from exposure to the largest assets.
Year to date, digital asset funds have still recorded $39.6 billion of inflows. That base of capital has kept aggregate trading volumes steady even during weeks of stress. Yet the scale of last week’s redemptions showed how sensitive large-cap crypto remains to shifts in the macro rate outlook, particularly when expectations for monetary easing are rolled back.
