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Crypto ETF Flows: Outflows from BTC Funds Offset by Altcoin Demand on December 9, 2025

BTC Veterans Cash Out to Reap ETF Tax Perks, Says Analyst

The U.S. crypto platform-Treated Fund (ETF) market experienced a day of mixed signals on Monday, December 9, 2025. While BTC (BTC) products registered a net outflow of approximately $60 million, this withdrawal was largely balanced by strong investor interest in other digital asset classes, particularly ETH (ETH) and XRP funds. The activity reflects a market characterized by pre-Federal Reserve (FOMC) meeting caution and a rotation of capital among diverse crypto-asset exposures. This rotation highlights a sophisticated approach by institutional investors who are actively managing their risk profile across the diverse range of regulated crypto investment vehicles.

BTC Funds view Continued tradeing Pressure

The outflow from BTC-linked products continues a trend that began in November, a month that saw US spot BTC ETFs bleed approximately $3.5 to $4 billion in net capital. An estimated $60 million net outflow was recorded for U.S. spot BTC ETFs on Monday, December 9. This tradeing pressure is consistent with the broader consolidation in the BTC price, which has been hovering between $88,000 and $93,000 as investors take profits and await clearer macroeconomic direction from the Fed’s upcoming interest-rate decision. While detailed daily breakdowns were not fully available, the tradeing is considered broad-based, with major funds like BlackRock’s IBIT having logged their longest streak of weekly outflows as of the previous week. This pattern suggests that short-term traders and institutions looking to reduce exposure ahead of potential market volatility are utilizing the high liquidity offered by the regulated ETF wrapper.

Altcoin Products Attract Fresh Capital

In contrast to the withdrawals from BTC funds, several non-BTC crypto products, including both spot and futures-linked ETFs/ETPs, showed robust demand. ETH (ETH), Solana (SOL), and XRP funds collectively drew an estimated $74 million in net inflows on the identical day. XRP-linked products have demonstrated exceptional strength, with some XRP ETFs recording consecutive days of inflows, fueled by strong institutional demand for single-asset exposure. One source noted that, over a slightly longer timeframe, XRP ETF inflows contrasted sharply with sector-wide capital flight, pointing to a persistent belief in XRP’s utility following regulatory clarity. Furthermore, ETH-linked ETPs, particularly those offering staking yield, continue to attract interest, reflecting a growing institutional appetite for yield-generating crypto products in European and other markets. WisdomTree, for instance, launched a fully staked ETH ETP on December 9th. The overall ETF flow picture on Monday was a classic example of market rotation. Institutional investors appear to be reducing exposure to BTC, possibly to lock in gains or de-risk ahead of the FOMC meeting, while simultaneously reallocating that capital into highly liquid, regulated altcoin funds, suggesting conviction in the broader digital asset ecosystem remains strong.

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