Crypto Funds Experience $1.73 billion Net Outflow – Largest Weekly Withdrawal Since November 2025
By [Your Name] – CryptoNewsWire
Date: 30 Oct 2025
Investors pulled a combined $1.73 billion from digital‑asset investment products in the week ending 28 October, marking the heaviest single‑week outflow since mid‑November 2025. The data, released in CoinShares’ latest Digital Asset Fund Flows Weekly Report, underscores a deepening risk‑off sentiment that has persisted since the sharp market correction on 10 October.
Where the Money Went
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Bitcoin‑focused funds were the primary drivers of the withdrawal surge, losing roughly $1.09 billion— the biggest weekly drain for the world’s flagship cryptocurrency since the November 2025 sell‑off. Short‑Bitcoin products, by contrast, attracted a modest net inflow of about $0.5 million, suggesting that a small cohort of traders is still positioning for further downside.
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Ethereum funds saw outflows of $630 million, while XRP‑related products shed $18 million. The lesser‑known token Sui also recorded a $6 million net withdrawal.
- Contrarian flows emerged in a few assets. Solana funds netted a $17 million inflow, and Binance, Chainlink and Litecoin products each attracted modest positive balances of $4.6 million, $3.8 million and $0.3 million respectively.
Geographic Breakdown
The United States accounted for the vast majority of the withdrawals, with $1.79 billion exiting U.S.-based digital‑asset vehicles. Smaller, yet notable, outflows were observed in Sweden ($11.1 million) and the Netherlands ($4.4 million). In the Asia‑Pacific region, Hong Kong investors pulled $2.6 million, while Brazil, France and Italy each saw sub‑$2 million exits.
A handful of European markets bucked the trend, registering net inflows: Canada $33.5 million, Switzerland $32.5 million, and Germany $19.1 million.
Market Context
Bitcoin is currently trading just above the $88,000 threshold, but price action remains flat amid persistent bearish pressure. The ongoing weakness is attributed to three inter‑related factors identified by CoinShares analysts:
- Lackluster price momentum across major coins, which fails to inspire fresh capital.
- Diminished expectations of near‑term central‑bank rate cuts, removing a potential catalyst for risk‑assets.
- Disillusionment with crypto’s hedge narrative, as the asset class has not demonstrated a reliable store of value against fiat debasement.
Petr Kozyakov, co‑founder and CEO of the fintech firm Mercuryo, echoed this sentiment in an interview with CryptoPotato: “We are firmly in a ‘risk‑off’ environment. Traditional safe‑haven metals are rallying, and both retail and institutional crypto participants are pulling back.”
The retreat is also evident in the reduced activity around meme‑coin projects that enjoyed heightened retail interest earlier this year, as well as a measurable pullback from institutional investors who previously allocated a small portion of their portfolios to crypto.
Key Takeaways
| Observation | Implication |
|---|---|
| $1.73 bn net outflow – largest since Nov 2025 | Signals a renewed bearish cycle and heightened investor caution. |
| Bitcoin dominates the withdrawals | The flagship asset’s price stagnation is discouraging both retail and professional money. |
| Inflow pockets (Solana, Binance, Chainlink) | Some niche narratives still attract capital, possibly reflecting speculative bets on upside or defensive hedging. |
| U.S. as the primary source of outflows | Domestic regulatory developments and macro‑economic data are likely influencing the pull‑back. |
| European inflows (Canada, Switzerland, Germany) | Suggests regional diversification of risk appetite, perhaps driven by different monetary‑policy outlooks. |
| Continued “risk‑off” sentiment | Traditional safe‑haven assets (gold, silver) are preferred, limiting crypto’s appeal as an alternative store of value. |
Outlook
If Bitcoin and the broader cryptocurrency market remain range‑bound while macro‑economic pressures persist, fund outflows could stay elevated. Conversely, any positive catalyst—such as a clearer regulatory framework, a tangible rate‑cut signal, or a decisive price breakout—could reverse the current trend and attract fresh inflows.
For now, fund managers and investors appear to be prioritizing capital preservation over speculative exposure, a stance that is reflected in the scale and composition of last week’s withdrawals.
Source: https://cryptopotato.com/crypto-funds-just-bled-1-73b-the-biggest-exit-since-november-2025/
