FameEX Hot Topics | Crypto Investment Products Erase 2025 Gains Amid $7.2B in Outflows

Digital asset exchange-traded products (ETPs) recorded nearly $800 million in outflows last week, marking the third consecutive week of investor retreat, according to a report from CoinShares. Of the $795 million in total outflows, Bitcoin-related products accounted for $751 million, while Ether-based ETPs saw $37.6 million in outflows. Despite the overall negative trend, select altcoins bucked the trend with modest inflows.

Since February, total outflows from crypto ETPs have reached $7.2 billion, nearly erasing all year-to-date (YTD) inflows. CoinShares’ head of research, James Butterfill, attributed the negative sentiment to recent tariff actions taken by President Donald Trump. On April 2, Trump signed an executive order enforcing a 10% baseline tariff on all imports, alongside reciprocal tariffs targeting countries taxing U.S. goods. The evolving policy has injected significant market uncertainty.

Butterfill noted that the outflows were driven by a “wave of negative sentiment” triggered by Trump’s tariff measures, exacerbated by fluctuating signals from the administration. As of now, only $165 million in net YTD inflows remain in crypto ETPs, showing the steep erosion of investor confidence since early February.

Bitcoin products bore the brunt of the selloff, but still retain $545 million in YTD inflows. Meanwhile, short-Bitcoin ETPs also saw $4.6 million in outflows, suggesting bearish bets are cooling. Among providers, BlackRock’s iShares ETFs faced the most pressure, with $342 million withdrawn last week and a total of $412 million in outflows for the month.

Despite recent setbacks, BlackRock remains a dominant force in the crypto ETP market. The asset manager still holds approximately $2.8 billion in YTD inflows and manages over $49.6 billion in assets under management (AUM). This suggests long-term institutional interest remains, even as short-term sentiment wavers.

Disclaimer: The information provided in this section is for reference only and does not represent any investment advice or the official views of FameEX.