Crypto ETP Outflows Hit 15-Month High as Sentiment Sours

Outflows from digital asset investment products surged to a 15-month high last week, with US$1.73 billion exiting the market. This resurgence of bearish sentiment mirrors past downturns and is attributed to fading rate-cut hopes, sustained negative momentum, and the failed narrative of crypto as a near-term inflation hedge.

Regionally, the outflow was heavily skewed toward the United States, which saw US$1.8 billion depart. European and Canadian flows presented a split view: Sweden and the Netherlands had minor outflows of US$11.1 million and US$4.4 million, while Switzerland, Germany, and Canada recorded combined inflows of over US$85 million as local investors bought the dip.

Bitcoin products endured outflows of US$1.09 billion, the largest since November 2025. A trivial US$0.5 million inflow into short-bitcoin products underscores the weak bullish conviction. The overall data suggests little improvement in investor psychology since the market break on October 10, 2025.