$1.82B Withdrawn from Bitcoin and Ether ETFs Amid Market Weakness
By John Nada·Jan 31, 2026·2 min read
Investors withdrew $1.82 billion from Bitcoin and Ether ETFs as market sentiment weakened, reflecting broader volatility amid a precious metals rally.
Investors yanked around $1.82 billion from US-based spot Bitcoin and Ether exchange-traded funds (ETFs) in just five trading days, marking a significant retreat as market sentiment falters after a rally in precious metals. According to Farside, US-based spot Bitcoin (BTC) ETFs faced net outflows of $1.49 billion, while spot Ether (ETH) ETFs saw $327.10 million exit. The downturn coincides with declining spot prices for both cryptocurrencies, despite recent recovery signs. In the past week, Bitcoin and Ethereum dropped 6.55% and 8.99%, respectively.
Bitcoin's price is down 5.13% over the last month. The report noted that Bitcoin experienced a brief rally leading up to January 15, driven by speculation surrounding the US CLARITY Act, but that momentum didn't last. On January 14, Bitcoin ETFs saw their highest inflow of 2026, with $840.6 million, just before the Crypto Fear & Greed Index reached its highest score of the year.
ETF analyst Eric Balchunas criticized the bearish sentiment surrounding Bitcoin, labeling it “very short-sighted.” He pointed out that while gold and silver reached all-time highs this week, they also faced steep declines, with gold falling 8% and silver dropping about 27% on Friday alone. Balchunas emphasized that if ETF demand for Bitcoin continues long-term, its price could soar.
The current ETF outflows reflect a broader uncertainty in the crypto market, underscoring the volatility that can arise from external factors like precious metals performance. This could mean a prolonged period of cautious trading ahead for crypto investors.