This month, a sharp divergence occurred in the crypto ETF market.
In contrast to the wave of outflows from existing Bitcoin and Ethereum funds, new products tracking Solana and XRP are attracting large amounts of capital, according to data from SoSo Value.
Newly launched altcoin ETFs have recorded total inflows of more than $500 million in less than a month, according to data.
These inflows highlight investor interest in assets beyond market leaders.
The Solana ETF, launched in October, saw total inflows of $382.05 million in just three weeks. The three funds managed by Grayscale, Bitwise and VanEck currently manage more than $541.31 million in combined assets, according to SoSo Value.
Meanwhile, demand for new XRP products is proving to be equally strong.
The Spot XRP ETF launched by Canary Capital last week attracted $250 million on its first day of trading, with volume reaching approximately $60 million.
Nate Geraci, co-founder of ETF Institute and president of NovaDius Wealth, emphasized the importance of the product’s performance in X, saying:
“The Canary XRP ETF had the highest first-day trading volume among over 900 ETFs launched this year.”
He said this is further evidence that spot crypto ETFs have consistently and significantly outperformed traditional financial sector expectations.
He noted that while skepticism from “old school conservatives” about traditional finance remains high, investor money is the decisive measure of success.
Still, he noted that spot crypto ETFs have consistently outperformed expectations and have come to dominate the list of top exchange-traded ETFs over the past two years.
Massive outflows seen from Bitcoin and Ethereum
The enthusiasm for altcoin funds is in stark contrast to the US-based Spot Bitcoin ETF, which saw massive outflows of more than $3 billion in the three weeks ending November 14.
Reimbursements were maintained, starting at $798 million for the week ended October 31. Outflows then accelerated to $1.2 billion in the week ending November 7, followed by a further $1.1 billion in the week ending November 14.
Ethereum ETFs followed a similar trend, totaling more than $1.2 billion in losses over the same period. After a modest inflow of $15 million in the last week of October, the ETH fund experienced significant outflows of $500 million and over $728 million in the following two weeks.
This equates to a total outflow of $4.2 billion in Bitcoin and Ethereum ETFs alone.
James Butterfill of CoinShares suggested that the recent drawdowns in Bitcoin and Ethereum ETFs are related to macro-level concerns.
He wrote:
“We believe a combination of monetary policy uncertainty and crypto-native whale selling are the main reasons for this recent negative funk.”
Meanwhile, BlackRock’s funds accounted for about 50% of redemptions, with IBIT and ETHA suffering combined losses of more than $2 billion. Nearly $1.4 billion went out of IBIT, and more than $700 million went out of ETHA.
During this period, BlackRock’s ETHA recorded outflows of $421 million, its largest weekly loss since its launch in 2024.
Despite the recent pullback, IBIT’s Institutional Ownership Overview for Q3 2025 showed a 15% increase in the number of institutional owners. Total institutional ownership increased by 1% to 29%, with sovereign wealth fund and UAE ownership at 2.14% and 4.1% respectively.
(Tag translation) Bitcoin
