While major crypto ETFs suffer heavy redemptions, Solana-backed products extend inflows for the sixth straight day, drawing institutional interest amid market uncertainty.
Bitcoin and Ether ETFs Bleed Capital
The cryptocurrency ETF market witnessed sharp capital shifts this week, with Bitcoin and Ether exchange-traded funds (ETFs) recording their fifth consecutive day of outflows. According to fresh data from Farside Investors, Bitcoin ETFs saw $578 million in redemptions on Tuesday — the largest single-day withdrawal since mid-October — while Ether ETFs lost $219 million, marking a combined $800 million in total outflows.
The heaviest withdrawals came from BlackRock’s iShares Bitcoin Trust (IBIT) and Fidelity’s FBTC, as institutional investors reduced exposure amid rising macroeconomic uncertainty. The same trend hit Fidelity’s FETH and BlackRock’s ETHA, extending a broader selloff that has erased nearly $1 billion from Ether-linked funds since late October.
“Straight days of redemptions show institutions are trimming risk as leverage unwinds and macro jitters rise,” said Vincent Liu, chief investment officer at Kronos Research. “Until liquidity conditions stabilize, capital rotation will keep the ETF bleed alive.”
Solana ETFs Defy Market Weakness
While Bitcoin and Ether struggled, Solana ETFs (SOL) quietly extended their winning streak. The Bitwise BSOL and Grayscale GSOL products collectively attracted $14.83 million in net inflows, marking six consecutive days of institutional interest.
Liu explained that Solana’s rise is a combination of “fresh flow meeting a fresh story” — new ETF products offering yield potential and exposure to a fast-growing network.
“Solana’s speed, staking, and story keep momentum tilted upward,” Liu said. “It’s a narrative-driven move by early adopters chasing yield and growth, even as the broader market remains risk-off.”
Institutions Shift Amid Macro Pressure
The divergence between Solana inflows and Bitcoin-Ether outflows highlights a capital rotation within digital assets. Analysts note that the moves are less about losing faith in crypto and more about managing exposure during tightening liquidity conditions and a strengthening U.S. dollar.
While major ETFs bleed capital, Solana’s steady inflows reflect a shift toward alternative narratives in crypto — where innovation, yield, and momentum still find curious capital amid broader risk aversion.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.