Bitcoin News Today: Germany Bucks Trend as $2B Drains from Crypto ETPs

Crypto ETPs Recorded Largest Weekly Outflows Since February as $2 Billion Drains from Digital Asset Funds

Crypto exchange-traded products (ETPs) logged their most significant weekly outflows since February 2025, with $2 billion exiting global funds amid heightened macroeconomic uncertainty and aggressive selling by large holders, according to CoinShares. The exodus marks the third consecutive week of redemptions, pushing the three-week total to $3.2 billion and slashing total assets under management (AUM) in digital asset ETPs from a $264 billion peak in early October to $191 billion.

Bitcoin and Ethereum ETPs bore the brunt of the sell-off. Bitcoin products saw $1.38 billion in outflows last week, equivalent to 2% of total Bitcoin ETP AUM, while Ethereum ETPs lost $689 million, or 4% of their AUM. U.S.-listed spot Bitcoin ETFs alone recorded $1.1 billion in redemptions-the fourth-largest weekly outflow on record-amid a 10% drop in Bitcoin's price to $95,740. Matrixport analysts described the downturn as the start of a "mini bear market," attributing the decline to fading ETF inflows, reduced exposure from long-term holders, and a lack of immediate macroeconomic catalysts.

The U.S. dominated the outflows, accounting for 97% of the $2 billion withdrawal, or $1.97 billion, while Switzerland and Hong Kong recorded smaller redemptions of $39.9 million and $12.3 million, respectively. Germany, however, bucked the trend with investors adding $13.2 million to crypto ETPs-a pattern CoinShares research head James Butterfill noted as a recurring feature during market pullbacks.

The selloff coincided with broader market stress, including $1.1 billion in crypto liquidations over 24 hours, with $968 million from long positions. Traders likened the turmoil to the 2022 FTX collapse era, as Bitcoin's relative strength index (RSI) hit oversold levels not seen since 2022. Meanwhile, Solana and XRP ETFs continued to attract capital, extending inflow streaks to 13 consecutive days and $382 million in cumulative inflows since late October according to crypto news sources.

Butterfill highlighted that shifting Federal Reserve rate expectations and whale-driven selling have created a "feedback loop" of risk reduction among investors according to market analysts. While Bitcoin and Ethereum ETPs faced outflows, multi-asset crypto funds drew $69 million in inflows over three weeks, reflecting a shift toward diversified exposure during volatility. Short-Bitcoin products also saw renewed interest, logging net inflows as traders hedged against further declines.

Despite the bearish trend, some analysts see potential for a rebound. The recent correction has erased optimism from mid-2025's rally, with historical patterns suggesting crypto bull markets often cool 12–18 months post-halving. Matrixport noted Bitcoin's next major move could hinge on Fed policy decisions, while CoinShares emphasized that macroeconomic clarity and institutional inflows will be critical in determining whether the downturn stabilizes or deepens according to market forecasts.

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