Share this article
Bitcoin ETF outflows deepen as ether and XRP funds quietly attract inflows
The flows are indicative of a growing split in how investors are positioning across major crypto assets during the latest bout of market volatility.
Updated Feb 4, 2026, 7:20 a.m. Published Feb 4, 2026, 7:16 a.m.
Make us preferred on Google
What to know:
- U.S.-listed spot bitcoin ETFs saw about $272 million in net outflows on Feb. 3, even as bitcoin’s price swung sharply between roughly $73,000 and $76,000.
- In contrast, spot ether ETFs drew about $14 million in net inflows and XRP-linked products attracted nearly $20 million, signaling investors are rotating within crypto rather than exiting the asset class.
- The split in flows shows bitcoin’s growing sensitivity to broader macro and tech-market stress, while capital shifts toward crypto assets seen as offering distinct use cases or relative value.
Bitcoin exchange-traded funds saw fresh outflows on Tuesday even as ether- and XRP-linked products drew net inflows, indicative of a growing split in how investors are positioning across major crypto assets during the latest bout of market volatility.
U.S.-listed spot bitcoin ETFs recorded roughly $272 million in net outflows on Feb. 3, according to data compiled by SoSoValue, extending a pattern of distribution that has emerged during bitcoin’s recent price swings.
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
The withdrawals came as bitcoin whipsawed sharply, sliding toward $73,000 before rebounding above $76,000, a move traders attributed to thin liquidity and fast-moving macro headlines.
In contrast, spot ether ETFs posted net inflows of about $14 million on the day, while XRP-focused products attracted nearly $20 million, suggesting some investors are rotating exposure rather than exiting crypto markets outright.
The divergence reflects shifting risk preferences rather than a wholesale loss of confidence in digital assets.
Bitcoin has increasingly traded as a macro-sensitive risk asset, reacting quickly to equity-market stress, tighter financial conditions and concerns around technology valuations.
Tuesday’s selling coincided with a sharp selloff in U.S. software stocks after Anthropic's new AI automation tool reignited fears that artificial intelligence could disrupt traditional software business models, pressuring broader tech benchmarks.
The flows also echo a broader theme visible across markets: selective risk-taking rather than blanket risk-off behavior. While bitcoin ETFs have borne the brunt of near-term de-risking, capital is still moving within the crypto complex, favoring assets perceived as offering distinct use cases or relative value.
