Crypto ETPs See $1B Inflows Amid Market Volatility
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In the past week, there was a significant decrease in the amount of Bitcoin investment products sold, which led to a minor increase of $47 million for cryptocurrency exchange-traded products (Crypto ETPs See $1B). CoinShares, a company that specializes in cryptocurrency investments, said on January 13 that during the second trading week of 2025, investors invested almost one billion dollars into crypto exchange-traded funds (ETPs), while they took out nine hundred forty million dollars.
The most recent publication of new macroeconomic data and minutes from the Federal Reserve of the United States revealed a better economy in the United States and a more hawkish Fed, which triggered significant withdrawals of cryptocurrency, as stated by James Butterfill, the head of research for CoinShares. He observed that this suggests that the euphoria that followed the election in the United States has subsided and that macroeconomic indicators are once again driving asset prices.
Bitcoin Inflows Reach $799M
Even though Bitcoin (BTC) suffered the highest withdrawals compared to other digital assets later in the week, investment products that used Bitcoin (BTC) received a total of $213 million throughout January 6-10. According to the study’s findings, Bitcoin has been the asset that has performed the best in 2025, with financial inflows totaling $799 million.
As a result of the sell-off, the total assets under management (AUM) in Bitcoin exchange-traded funds (Crypto ETPs See $1B) decreased by 3.5%, going from $130 billion to $125.4 billion. When you buy a Ledger, you will be given ten dollars’ worth of Bitcoin. Now is the time to purchase it at a price exclusive to Cointelegraph.
XRP Sees $41M Inflows
Butterfill asserts that the reason for Ethereum outflows is not a problem with the asset itself but rather a bigger sell-off in the technology industry. This explains why Ethereum is being sold off. Despite this, XRP, the third largest cryptocurrency in terms of market value, attracted $41 million in crypto ETP investments during the previous week.
Political and legal factors continue to drive the surge, with inflows reflecting a heightened sense of optimism before the appeal deadline that the United States Securities and Exchange Commission (SEC) requires for its ongoing litigation against Ripple on January 15. Despite their lackluster performance on the market, alternative cryptocurrencies like Polkadot ($1.6 million), Aave ($2.9 million), and Stellar ($2.7 million) were able to attract large investments.
US Inflows Switzerland Outflows
Last week, the United States of America continued to be the leading contributor to cryptocurrency exchange-traded funds (ETPs), with inflows totaling $79 million. On the other hand, Switzerland was the leading contributor to outflows, with $85 million. Germany and Canada were also important contributors, with Germany contributing five million dollars and Canada contributing thirty-seven million dollars in the form of inflows. Additionally, outflows are occurring in Hong Kong and Sweden. With withdrawals amounting to around $37 million and $33 million, respectively, beyond the borders of Switzerland.
Final Thoughts
The cryptocurrency market experiences damage from both macroeconomic. Innovations in exchange-traded products (Crypto ETPs See $1B) influence market conditions and investor sentiment. As a result of wider market patterns and legislative changes, altcoins like Ethereum are having mixed results, although Bitcoin continues to be a leading asset with substantial inflows. Legal optimism and political considerations are helping XRP in particular.
As a reflection of the changing dynamics in global investment plans, the United States remains the leading country for inflows, and Switzerland is the leading country for outflows. The cryptocurrency markets are very susceptible to external variables and investor behavior. This means they will likely remain volatile even if macroeconomic indices change.
FAQs
How much did Bitcoin receive in ETP inflows during the week of January 6-10?
Bitcoin received a total of $213 million in investment products during January 6-10, with total financial inflows reaching $799 million in 2025.
Why did Ethereum experience outflows during this period?
Ethereum's outflows are not due to issues with the asset itself but rather a larger sell-off in the technology sector, affecting several cryptocurrencies.
What is driving the surge in XRP inflows?
XRP has seen increased inflows due to political and legal factors, particularly optimism surrounding the ongoing appeal deadline in its litigation with the U.S. Securities and Exchange Commission (SEC).
Which countries saw the highest inflows and outflows in crypto ETPs?
The United States led in crypto ETP inflows with $79 million, while Switzerland saw the largest outflows at $85 million, followed by smaller outflows in Hong Kong and Sweden.