Crypto ETF Show a Rotation As Wall Street Backs Bitcoin Over Ethereum

Key Insights

• Crypto ETF recorded $562M in Bitcoin inflows on Feb. 2, ending a multi-day outflow streak.
• Ethereum crypto ETF continued to see net outflows, showing weaker institutional demand.
• XRP and Solana crypto ETFs attracted selective interest, pointing to cautious rotation, not broad recovery.

Over the past few weeks, the crypto ETF has started sending a clear signal. Big money is not spreading evenly across the market.

Instead, it is picking sides. Bitcoin is getting steady support. Ethereum is losing attention. Other coins, like XRP and Solana, are seeing mixed interest.

On Feb. 2 alone, US spot crypto ETF showed this shift very clearly. Bitcoin funds pulled in strong money. Ethereum funds saw more exits. This pattern matters because crypto ETFs now guide how large investors enter the market. When these flows change, prices usually follow.

Crypto ETF and Bitcoin’s Comeback

On Feb. 2, US spot crypto ETFs recorded about $562 million in net inflows into Bitcoin funds. This ended a four-day stretch of selling. It was also the biggest one-day inflow since mid-January.

Fidelity’s FBTC led the move with around $153 million. BlackRock’s IBIT and Bitwise’s BITB followed closely. These numbers show that large institutions were actively buying Bitcoin after it dropped below $76,000.

At the same time, total assets held by the crypto ETF are still much lower than last year. In late 2025, they were above $140 billion. Now they are near $100 billion. This tells us the market is still in a reset phase.

So this Bitcoin inflow does not mean full confidence is back. It shows selective buying. Investors are stepping in when the price looks weak. They are not rushing in at any price.

This behavior fits what we have seen in 2026. Many funds sell during uncertain periods. Then they buy back when prices fall enough. Crypto ETFs are being used more for timing trades than for long-term holding.

That is why this Bitcoin rebound looks tactical. It helped BTC recover toward $78,000. But it does not yet prove a new strong uptrend.

Ethereum Crypto ETFs Face Selling Pressure

While Bitcoin crypto ETFs were pulling in money, Ethereum funds were moving in the opposite direction.

On the same day as the Bitcoin inflows, Ethereum ETFs recorded net outflows of around $2.9 million. Some trackers showed even larger numbers earlier in the week. BlackRock’s ETHA was one of the main sources of selling.

This pattern has been visible for weeks. Ethereum crypto ETFs have struggled to hold steady inflows in early 2026. Even when Bitcoin stabilizes, Ethereum continues to see money leaving.

There could be several reasons for this.

First, Ethereum’s story has become more complex. Layer-2 debates, competition from other chains, and changing fee dynamics have made it harder to explain to traditional investors.

Second, many funds already hold ETH exposure from earlier years. When markets turn weak, they reduce these positions first.

Third, Bitcoin is easier to sell as “digital gold.” For many institutions, it fits better into simple portfolios. Ethereum requires more explanation.

So when risk rises, money moves to Bitcoin. When caution returns, Ethereum is often the first to be trimmed.

This does not mean Ethereum is failing. On-chain activity remains strong. Development continues. But crypto ETFs reflect comfort, not just technology. Right now, investors feel more comfortable with Bitcoin than with ETH.

XRP and Solana ETFs Show Get Quiet Attention

Beyond Bitcoin and Ethereum, crypto ETFs are showing smaller but important shifts. Solana ETFs recorded mild inflows around the same period. The numbers were not large, but they show some investors are willing to take limited risk outside Bitcoin.

XRP ETFs are more interesting. While prices have been weak, some XRP funds have seen steady or intermittent inflows. Since late 2025, cumulative assets in XRP products have grown quietly.

This suggests a different strategy.

Some institutions appear to be rotating into assets with clearer legal and utility stories. After Ripple’s legal clarity in 2025, XRP has become easier to hold in regulated products. For some funds, it offers exposure without heavy DeFi or scaling risks.

So while Bitcoin gets headlines, XRP is being accumulated more quietly. When we look at crypto ETFs as a group, a pattern forms. Bitcoin is used for dip buying. Ethereum is being reduced. Solana is tested carefully. And, XRP is accumulated quietly. It is selective positioning for now.