On December 24, 2025, U.S.-listed spot Bitcoin and Ether exchange-traded funds recorded significant net outflows amounting to approximately $200 million. BlackRock’s IBIT led the withdrawals with $91.37 million, followed by Grayscale’s GBTC at $24.62 million. Ethereum spot ETFs shed $95.5 million, with Grayscale’s ETHE accounting for $50.9 million. These outflows mark a continuation of the trend over consecutive sessions.
Analysts note the timing aligns with typical year-end repositioning as investors reduce exposure ahead of the holiday period. Seasonal factors, including diminished trading volumes and liquidity, have exacerbated the redemptions. Market participants have attributed the shift to profit-taking, tax-loss harvesting strategies and preparations for the Christmas break.
The trend reflects broader risk-off sentiment in digital asset markets, as participants reassess allocations under thin liquidity conditions. While some alternatives such as XRP and Solana ETFs reported modest inflows, the dominant narrative remains focused on outflows from major Bitcoin and Ether products.
Several strategic funds have also observed outflows, including Fidelity’s FBTC and Bitwise’s BITB, which recorded $17.2 million and $13.3 million in net withdrawals respectively. Ark Invest’s ARKB and VanEck’s HODL saw outflows of $9.9 million and $8.0 million, underscoring the breadth of the sector-wide adjustment.
Despite these withdrawals, proponents argue the fundamental demand for institutional-grade crypto exposure remains intact. They contend that temporary outflows during holiday windows do not signal structural weakness but rather mechanical portfolio adjustments common at year-end.
Looking ahead, market watchers will track ETF flow reports in the first week of January to assess whether liquidity returns and redemptions reverse. The pace of new inflows into these flagship products could serve as a barometer for institutional conviction as macroeconomic developments unfold in early 2026.
Institutional investors will monitor how broader economic indicators, such as U.S. jobless claims and Federal Reserve commentary, influence digital asset flows. A reversal in broader market sentiment or policy shifts could prompt a resumption of inflows, while persistent volatility may sustain the current pullback.
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