What happened?
Digital-asset investment products saw $812 million of outflows last week — the biggest weekly withdrawal of the year. Most of that came from Bitcoin and Ethereum funds (about $719M and $409M, respectively), while Solana and XRP actually attracted inflows. The move followed stronger-than-expected U.S. macro data that pushed back expectations for Fed rate cuts and pressured risk assets.
Who does this affect?
This hits large holders and institutional products the most — managers of Bitcoin and Ethereum funds faced the largest redemptions. It also matters to investors deciding how to allocate capital, since some money rotated into Solana and XRP. Smaller funds and less liquid tokens are especially vulnerable because thinner markets can see bigger price swings if flows reverse.
Why does this matter?
These flows show macro policy still drives crypto allocations and can quickly move big pools of capital, raising short-term volatility. The selective rotation into a few altcoins suggests investors are searching for diversification, but the amounts are small compared with the majors so Bitcoin and Ethereum will likely keep setting broader market direction. If rate expectations keep changing, we could see continued outflows, strained liquidity, larger price moves, and delays or changes to ETF/product launches.