Bitcoin and ether ETFs on U.S. exchanges suffer close to $1 billion in daily outflows.

U.S.-Listed Bitcoin and Ether ETFs Shed Nearly $1 Billion as Crypto Markets Slide

U.S.-listed spot bitcoin and ether ETFs saw one of their largest combined outflow days of 2026 on Thursday, as falling crypto prices, heightened volatility, and broader macroeconomic uncertainty prompted investors to cut exposure.

Data from SoSoValue shows that bitcoin ETFs recorded $817.9 million in withdrawals on Jan. 29, the biggest single-day outflow since Nov. 20. Ether ETFs also experienced significant redemptions, losing $155.6 million in the session.

The selling coincided with sharp declines in crypto markets. Bitcoin fell below $85,000 before sliding toward $81,000 during U.S. trading hours, later stabilizing near $83,000 in Asian markets Friday morning. Ether fell more than 7% on the day.

BlackRock’s IBIT led bitcoin ETF outflows with $317.8 million withdrawn, followed by Fidelity’s FBTC at $168 million and Grayscale’s GBTC at $119.4 million. Smaller products, including Bitwise, Ark 21Shares, and VanEck, also faced notable outflows.

Ether ETFs mirrored the trend. BlackRock’s ETHA lost $54.9 million, Fidelity’s FETH saw $59.2 million exit, and Grayscale’s ether products continued to shed assets. Total ether ETF holdings declined to $16.75 billion, down from over $18 billion earlier this month.

The widespread selling indicates institutional investors were reducing overall crypto exposure rather than rotating between bitcoin and ether—a shift from earlier in January, when inflows into ether funds often offset weakness in bitcoin products.

Analysts cite rising volatility across risk assets and uncertainty over U.S. economic policy as key drivers. Speculation around Federal Reserve leadership, with Kevin Warsh viewed as bearish for bitcoin, contributed to cautious sentiment.

“Rising implied volatility, weakness in equities, and speculation about the Fed’s future moves weighed on sentiment. Leveraged positions in crypto markets were aggressively unwound, adding further pressure to spot prices,” analysts noted.

ETF flows currently appear to track price action rather than lead it. As long as bitcoin and ether remain under pressure, analysts expect ETF demand to stay fragile, with investors waiting for volatility to subside before stepping back in.

“Bitcoin crashed to $81k due to a risk-off wave: hawkish Fed holding rates with no cuts soon, heavy spot BTC ETF outflows ($1B+ recently), geopolitical tensions, and a brief gold/silver dip,” said Andri Fauzan Adziima, Research Lead at Bitrue, in a Telegram message.

“This triggered massive leveraged liquidations after breaking key support (~$85k 100-week SMA), creating a self-reinforcing sell-off in thin liquidity. It’s a leverage shakeout amid macro pressure, not the start of a bear market, with rebound potential if supports hold,” Adziima added.