Crypto outflows have totaled a whopping $508 million just last week, marking the second consecutive week of negative flows in 2025. This brings the total outflows over the past two weeks to a staggering $925 million.
The outflows signal a change in sentiment following an impressive 18-week rally that saw investments soar to $29 billion, as investors carefully assess the impact of US economic events and uncertainties surrounding trade tariffs, inflation, and monetary policy.
Bitcoin faced the most significant blow, with investors showing caution by pulling out $571 million from the cryptocurrency. Moreover, some traders opted to increase their short positions, resulting in $2.8 million flowing into short-Bitcoin products.
This latest development echoes a trend seen in the previous week when hawkish comments from the Federal Reserve and CPI data contributed to the first crypto outflows of the year. According to the CoinShares report, these recent outflows reflect a heightened sense of caution as investors digest the latest US economic data.
Notably, the US accounted for a majority of the outflows, shedding $560 million, further highlighting concerns over the country’s economic policies. However, amid Bitcoin's struggles, altcoins continued to gain momentum, with XRP leading the way with $38.3 million in inflows, bringing its total to $819 million since mid-November 2025.
XRP’s upward trend coincides with growing anticipation for a US SEC decision on an XRP ETF, with investors optimistic that regulatory clarity could drive further institutional investments in the altcoin. Other altcoins also saw inflows, with Solana attracting $9 million, Ethereum gaining $3.7 million, and Sui receiving $1.5 million, indicating a potential shift in investor focus towards altcoins with robust technical fundamentals and growth potential.
Speculation around market dynamics is further fueled by upcoming US economic data releases, such as Thursday’s GDP and Friday’s PCE inflation data, which could provide crucial insights into Federal Reserve policy moves. As Bitcoin's susceptibility to macroeconomic uncertainties heightens, reports later in the week could intensify selling pressure, while altcoins seem to be benefiting from increased speculative interest and potential diversification plays.
The contrasting investor sentiments towards Bitcoin and altcoins hint at a possible transformation in the market structure, with some analysts already envisioning an approaching altcoin season.