Bitcoin News Today: Global Crypto Funds Face $1.4 Billion Outflows Amid Fed Concerns

Global crypto funds experienced their largest weekly outflows since March 2025, totaling $1.4 billion, according to CoinShares’ latest report [1]. The decline was primarily driven by withdrawals from Bitcoin and ether products, which saw net outflows of $1.0 billion and $440 million, respectively. This marked a significant shift in fund flows and reflected a cooling in both institutional and retail demand for crypto exposure. While Germany and Canada recorded minor inflows, the U.S., Sweden, and Switzerland were the largest sources of outflows.

James Butterfill, head of research at CoinShares, highlighted the volatility in fund flows during the week. Initial outflows neared $2 billion before stabilizing following Federal Reserve Chair Jerome Powell’s address at the Jackson Hole Symposium. The speech, interpreted as more dovish than expected, triggered a $594 million inflow into crypto assets later in the week [1]. However, the overall trend for the week still reflects a broader pullback in risk appetite and investor confidence in the sector.

The outflows underscore the sensitivity of crypto markets to macroeconomic signals, particularly from central banks. Bitcoin and ether—two of the largest assets in the crypto space—saw the most pronounced outflows, indicating that larger-cap assets bear the brunt during periods of volatility. In contrast, altcoins showed mixed performance, with XRP, Solana, and Cronos attracting modest inflows of $25 million, $12 million, and $4.4 million, respectively [1]. Sui and Toncoin, however, lost $12.9 million and $1.5 million, reflecting ongoing uncertainty in the altcoin segment.

Month-to-date, ether products continue to attract more inflows compared to Bitcoin vehicles, with a total of $2.5 billion in net inflows for ether versus $1.0 billion in net outflows for Bitcoin [1]. This divergence suggests a more optimistic sentiment toward the Ethereum network, perhaps driven by expectations of regulatory clarity and potential rate cuts from the Federal Reserve.

The broader market context remains cautious, with investors closely monitoring macroeconomic developments and policy shifts. Despite the outflows, the crypto market remains responsive to key macro signals, and positioning in listed derivatives continues to influence fund flows. As the market absorbs these signals, the pressure on digital assets to maintain value and attract sustained investment remains significant.

Source:

[1] Global crypto funds record largest weekly outflows since March worth $1.4 billion: CoinShares (https://www.theblock.co/post/368126/global-crypto-funds-record-largest-weekly-outflows-since-march-worth-1-4-billion-coinshares)

[2] Centric Swap Price Chart (CNS) (https://www.coingecko.com/en/coins/centric-swap)

[3] Peter Brandt Reacts as Ethereum Hits New All-Time High (https://www.fastbull.com/news-detail/peter-brandt-reacts-as-ethereum-hits-new-alltime-news_6100_0_2025_3_8976_3)

[4] MUST READ UPDATE: This week, the $BTC ETFs saw (https://www.facebook.com/groups/forextraderphp/posts/2234292167094906/)