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- Bitcoin ETFs recorded $1.1B in outflows last week.
- Solana ETFs continue attracting investment despite market losses.
- Market direction now hinges on Federal Reserve policy decisions.
US spot Bitcoin ETFs have faced a third consecutive week of heavy losses, highlighting growing concerns over waning institutional demand for the cryptocurrency. According to Farside Investors data, ETFs recorded $1.1 billion in net outflows last week, marking the fourth-largest outflow week on record. The retreat coincided with a sharp 9.9% drop in Bitcoin’s price, which fell to approximately $95,740.
ETF Weakness Signals Market Uncertainty
The recent decline is being interpreted as a potential “mini” bear market, according to crypto insights platform Matrixport. Analysts note that the market is struggling without strong catalysts to sustain a rally.
Matrixport highlighted: “ETF flows are weakening, OG investors are reducing exposure, and macro conditions offer no immediate catalyst. The path forward is highly dependent on upcoming Federal Reserve policy decisions.”
This suggests that Bitcoin’s institutional demand engine, once fueled by inflows from major players like Michael Saylor’s Strategy, may be losing momentum, leaving the market vulnerable to further corrections.
Solana Defies Market Gravity While Ether Follows Bitcoin Down
Not all digital assets are experiencing the same trend. Spot Solana ETFs continue to attract investment despite the broader market slump, logging $12 million in inflows last week and marking 13 consecutive days of gains since their launch on October 29.
However, Solana’s price still fell 15% over the week, while Ether ETFs saw $177 million in outflows, with Ether’s price dropping 11%. This divergence indicates that while some altcoins maintain institutional interest, broader market pressures are affecting prices across the board.
Also Read: Bitcoin Loses 2025 Gains Amid Market Volatility – What Investors Need to Know
Market Outlook Hinges on Policy and Key Price Levels
Crypto experts describe the market as being at a pivotal juncture, where the next major move will likely be determined by macroeconomic factors and upcoming Federal Reserve decisions. Investors are watching closely, as ETF flows often serve as a barometer of institutional confidence in the sector.
The recent Bitcoin ETF outflows reflect a period of uncertainty in the crypto market, underscoring the importance of macro conditions and institutional demand. While Solana continues to see ETF inflows, broader market pressures, especially on Bitcoin and Ether, highlight that the crypto sector remains highly sensitive to both policy shifts and investor sentiment.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m a crypto enthusiast with a background in finance. I’m fascinated by the potential of crypto to disrupt traditional financial systems. I’m always on the lookout for new and innovative projects in the space. I believe that crypto has the potential to create a more equitable and inclusive financial system.
