Crypto investment products suffered a brutal week, with $795 million in outflows piling onto an already grim Q1 for digital asset markets. According to the latest data from crypto asset manager CoinShares, last week’s sell-off marks the third consecutive week of significant outflows, bringing total losses since February to a staggering $7.2 billion — effectively wiping out most of 2025’s gains.
Record Outflows Hit Third Week Running
In its April 14 report, CoinShares revealed that crypto investment products are now teetering on the edge of a net-negative year. The lion’s share of last week’s $795 million outflows came from Bitcoin-related products, which saw $751 million drained. Ether-based ETPs followed suit, shedding another $37.6 million.
This sustained outflow trend has brought year-to-date inflows across all crypto investment products down to just $165 million — a dramatic fall from the earlier bullish sentiment that kicked off 2025.
Bitcoin and Ether Take the Biggest Hit
While Bitcoin continues to dominate the crypto investment products market, its recent performance has done little to inspire confidence. Despite YTD inflows still sitting at $545 million, last week’s withdrawals highlight growing investor anxiety.
Ether hasn’t fared much better. With $37.6 million pulled from Ether-linked products last week, its place as a top-tier digital asset is being tested as institutional sentiment sours.
Even short-Bitcoin ETPs — typically a go-to during downturns — weren’t spared, with $4.6 million in outflows suggesting broader market fatigue.
Altcoins Offer Rare Bright Spots
Not all digital assets joined the downward spiral. In contrast to major tokens, a few altcoins managed to buck the trend. According to CoinShares, crypto investment products tied to XRP, Algorand, Avalanche and Ondo Finance posted modest inflows, reflecting niche investor optimism or hedging strategies.
Still, these minor gains were not enough to stem the overall tide, as products linked to other altcoins like Solana, Aave and Sui lost over $6 million collectively.
US Tariff Chaos Fuels Market Uncertainty
CoinShares’ head of research, James Butterfill, pointed to macroeconomic headwinds — notably fresh tariff measures — as a major contributor to the recent investor retreat from crypto investment products.
On April 2, former President Donald Trump enacted a 10% baseline tariff on all imports and introduced reciprocal tariffs on countries levying duties on US goods. The administration’s erratic handling of trade policy has since rattled global markets, sending shockwaves through digital asset ETPs.
“The wave of negative sentiment began in February and has continued to gain momentum,” Butterfill said, noting that the $7.2 billion in outflows have almost entirely erased the year’s previous inflows.
BlackRock’s iShares Lead the Exodus
Among crypto investment products providers, BlackRock’s iShares ETFs were hit the hardest. Data shows the asset manager faced $342 million in outflows last week alone, with a total of $412 million in losses so far this month.
This sharp reversal for BlackRock’s crypto ETP arm reflects broader institutional unease — especially in the face of geopolitical turbulence and rising regulatory uncertainty in key jurisdictions. Despite the fact that BlackRock had incredibly massive outflows this month, the ETF issuer still records about $2.8 billion in YTD inflows. The asset manager also holds over $49.6 billion in assets under management (AUM).
Despite the resilient fundamentals of some digital assets, the current trajectory of crypto investment products indicates a cautious, if not bearish, institutional sentiment for Q2 2025. With nearly all of this year’s gains now evaporated, investors and asset managers alike will be watching upcoming macro developments with heightened scrutiny. Stay glued to The Bit Gazette for the very latest crypto news and expert analysis. Don’t forget to bookmark this page.
