Investor Risk Appetite Weakens Amid Macro and Geopolitical Pressure
Spot Bitcoin exchange-traded funds (ETFs) opened 2026 on a weaker footing, recording significant net outflows as investors shifted toward a more cautious, risk-off stance driven by global uncertainty and changing monetary policy expectations.
During the first full trading week of the year, spot Bitcoin ETFs posted cumulative outflows of $681 million, reversing strong inflows seen at the start of January. The decline was marked by four consecutive days of net redemptions, with the sharpest single-day withdrawal reaching $486 million midweek. Additional heavy outflows followed, signaling sustained selling pressure.
This reversal came despite early optimism, when Bitcoin ETFs attracted more than $1.1 billion in combined inflows across the first two trading sessions of the year. The sudden shift highlights how quickly sentiment can change in response to broader economic signals.
Spot Ether ETFs mirrored this trend, recording weekly net outflows of roughly $68.6 million, even as total assets under management remained elevated at approximately $18.7 billion.
Market analysts point to fading expectations for near-term interest rate cuts and rising geopolitical risks as key drivers of the pullback. With investors awaiting clarity from upcoming inflation data and central bank guidance, positioning across crypto-linked investment products remains cautious.
Despite near-term volatility, institutional interest continues to evolve, suggesting that longer-term participation in digital asset ETFs has not disappeared, but is becoming more selective.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.