Crypto ETF News: Market Divergence Deepens as Bitcoin Faces Sustained Outflows While Alternative Assets Rally

fomo_fighter · 2026-01-05T13:25:30+00:00

Bitcoin ETFs face significant outflows signaling profit-taking, while Ether and altcoins like XRP and Solana attract new investments, indicating a shift toward diversified crypto strategies among institutional investors.

fomo_fighter

2026-01-05 13:25:30

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Bitcoin’s Third Consecutive Outflow Day Signals Profit-Taking

The crypto ETF market displayed a notable split on Monday, with Bitcoin spot ETFs experiencing their third straight day of net outflows totaling $142.19 million. Major issuers including Bitwise’s BITB and Vaneck’s HODL led the redemptions, reflecting investor appetite for taking profits or rebalancing positions. Notably, Blackrock’s IBIT stood alone among Bitcoin ETFs by capturing inflows, yet the volume proved insufficient to stem the broader exodus from BTC-focused products.

Ether Reverses Momentum as Alternative Coins Gain Ground

In a sharp reversal, Ether ETFs experienced a significant rebound with $84.59 million in fresh capital flowing into the products, predominantly benefiting Grayscale’s ETHE and its Ether Mini Trust offering. This shift marks a renewed turn toward secondgeneration assets as net assets under management for Ether ETFs climbed to $18.20 billion, signaling institutional confidence returning to the ecosystem.

XRP and Solana Continue Their Ascent

The altcoin segment demonstrated sustained appeal, with XRP ETFs adding $43.89 million while Solana ETFs captured $7.47 million in inflows. XRP’s performance sustained its late-year momentum trajectory, indicating persistent interest in the token despite broader Bitcoin weakness. Solana’s continued inflow attraction suggests investors are selectively deploying capital into select Layer-1 alternatives rather than abandoning risk assets entirely.

Market Divergence Reflects Evolving Investment Thesis

The divergence between Bitcoin outflows and altcoin inflows underscores shifting market dynamics within institutional crypto exposure. Rather than a generalized crypto selloff, the data suggests a recalibration toward diversified altcoin positions, with investors maintaining exposure while reducing Bitcoin concentration—a pattern that carries implications for broader market sentiment heading into year-end trading sessions.

BTC-0,72%

XRP-1,87%

SOL-3,4%

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