Bitcoin ETF Flows Turn Negative Following Strong Start to 2026
Bitcoin exchange-traded funds (ETFs) in the U.S. experienced a dramatic shift on Tuesday, marking the first day of negative aggregate flows this year after a record-breaking start. According to SoSoValue data, these funds saw net outflows totaling $243 million on the day.
Spot ETF Withdrawals Led by Fidelity and Grayscale
The notable decline was chiefly driven by Fidelity’s Wise Origin Bitcoin Trust, which lost $312.24 million in a single day. Grayscale’s Bitcoin Trust also reported significant withdrawals of $83.07 million, alongside an additional $32.73 million from its Mini Trust.
Despite the overall selling pressure, BlackRock’s iShares Bitcoin Trust (IBIT) countered the negative trend, attracting $228.66 million on Tuesday. Across the board, funds managed by Ark, 21Shares, and VanEck also recorded net outflows, contributing to the overall negative shift in Bitcoin ETF flows.
Ethereum and Altcoin ETFs Attract New Investments
While Bitcoin ETFs faced outflows, other cryptocurrency-related funds continued to garner interest from investors. U.S. spot Ethereum ETFs reported $114.7 million in net inflows amid the withdrawals observed in some of Grayscale and Fidelity’s products. Meanwhile, XRP and Solana ETFs recorded $19 million and $9 million in net inflows, respectively, highlighting sustained investor interest beyond Bitcoin amidst broader market volatility.
2026 Still Primed for Growth
These outflows come on the heels of an exceptionally strong start to the year for Bitcoin ETFs, which attracted over $1.2 billion in net inflows during the first two trading days of 2026. Eric Balchunas, a senior ETF analyst at Bloomberg, described the situation, stating, “Bitcoin spot ETFs entered 2026 like lions.” He noted the rapid influx of capital with nearly all participating funds benefitting from the surge, with the WisdomTree Bitcoin Fund being the only exception.
With annual flows projected to reach around $150 billion if the momentum continues, this scenario could reshape the market landscape significantly, especially given that Bitcoin spot ETFs attracted $21.4 billion in net inflows during 2025, down from $35.2 billion in 2024. The majority of last year’s flows originated from BlackRock’s IBIT, which has emerged as a market leader.
Further supporting this bullish trend, Morgan Stanley has revealed plans to launch Bitcoin and Solana ETFs, indicating continued institutional interest in the cryptocurrency market.
