US Crypto ETFs Face $1B Outflow
After a strong performance in July, U.S. spot crypto ETFs experienced a sharp reversal on August 1, with nearly $1 billion in total outflows. According to SoSoValue, $812 million was withdrawn from 12 U.S.-listed Bitcoin ETFs, marking the largest single-day outflow in five months, and the second-worst day of 2025.
Ethereum ETFs weren’t spared—$153 million exited from nine ETH products, ending a 20-day streak of inflows that had attracted more than $5 billion in capital. These sharp outflows contrast with the robust inflows seen in July, where U.S. crypto funds collectively gained $12.8 billion, outperforming even traditional giants like Vanguard’s S&P 500 ETF (VOO).
This abrupt pullback surprised many analysts, particularly in light of favorable regulatory moves. In July, SEC Chair Paul Atkins launched “Project Crypto,” a major initiative aimed at modernizing U.S. securities laws to support blockchain integration. It includes faster ETF approvals and in-kind redemption allowances, aligning with President Trump’s stated goal of making the U.S. a global crypto leader. #MarketPullback #Write2Earn #ETFs #TechnicalAnalysiss