Crypto ETPs Experience $1.7 Billion in Outflows, Marking Longest Streak Since 2015

Cryptocurrency exchange-traded products (ETPs) have been hit with significant selling pressure, continuing a trend of outflows that has now reached the longest streak since CoinShares began tracking these movements in 2015. Last week, crypto ETPs recorded $1.7 billion in outflows, marking the fifth consecutive week of negative activity. This brings the total outflows over the past five weeks to a staggering $6.4 billion, according to CoinShares' latest report on March 17.

Outflows Continue to Mount

The selling pressure accelerated in the past week, with outflows increasing from $876 million to $1.7 billion, further deepening the trend of declining investor confidence in the space. As of March 17, the outflows have now stretched to 17 consecutive days—the longest such streak on record since CoinShares began tracking these movements in 2015.

Despite the sustained outflows, there is a glimmer of hope for the broader crypto market. CoinShares' James Butterfill noted that, year-to-date (YTD), inflows remain positive at $912 million, indicating some level of optimism for the market despite the recent wave of selling.

Bitcoin ETPs Lead the Outflow Trend

Bitcoin ETPs have been the hardest hit, with $5.4 billion in outflows over the past five weeks. After a relatively modest $756 million in outflows during the first week of March, Bitcoin ETPs saw a sharp increase in selling activity, with $978 million exiting the market between March 10 and March 14. This brings the total outflows from Bitcoin ETPs to $5.4 billion, leaving only $612 million in YTD inflows as of mid-March.

The outflows from Bitcoin ETPs have been particularly concerning for market observers, as Bitcoin is often seen as a leading indicator for the broader crypto market. As Bitcoin struggles to maintain investor interest, it’s likely that other cryptocurrencies are also experiencing similar sentiment shifts.

Other Crypto ETPs See Mixed Results

Ethereum (ETH) and Solana (SOL) ETPs also saw notable outflows, although to a lesser extent. Ethereum ETPs experienced $175 million in outflows, while Solana ETPs saw $2.2 million in liquidations. These numbers reflect broader concerns across the crypto market, where investor confidence is wavering due to a combination of macroeconomic factors and ongoing market volatility.

In contrast, XRP ETPs have bucked the overall trend, seeing $1.8 million in inflows during the past week. This positive movement suggests that some investors are still finding value in specific altcoins, despite the overall negative sentiment affecting most of the crypto market.

Looking Ahead

The continued outflow streak underscores the uncertainty that has taken hold of the crypto market, with many investors choosing to pull back from riskier assets like crypto ETPs. While YTD inflows remain positive, the accelerating outflows in recent weeks highlight the challenges facing the sector. As we move further into 2025, market participants will be closely monitoring whether the outflows persist or if a shift in sentiment occurs.

Despite the short-term struggles, the resilience of certain assets like XRP and the positive YTD inflows offer some hope for the future. Investors and analysts alike will be watching closely to see how the market navigates these turbulent waters in the coming months.