Spot Bitcoin and Ether ETFs See Heavy Outflows Amid Macro Uncertainty

Spot Bitcoin and Ether exchange-traded funds (ETFs) faced heavy outflows on Tuesday, as macroeconomic and geopolitical uncertainty continued to weigh on markets.

Spot Bitcoin (BTC) ETFs recorded $483.4 million in daily outflows, with the Grayscale Bitcoin Trust ETF (GBTC) leading the selling at $160.8 million, followed by Fidelity Wise Origin Bitcoin Fund (FBTC) at $152 million, according to data from SoSoValue.

Spot Ether (ETH) ETFs posted $230 million in net outflows, ending a five-day streak of positive flows, with BlackRock’s ETHA seeing $92.3 million exit. Spot XRP (XRP) ETFs also registered their largest single-day outflow yet at $53.3 million, while Solana (SOL) ETFs bucked the trend with $3 million in net inflows.

“ETF outflows point to institutional caution amid geopolitical trade tariffs and broader risk-off sentiment,” Vincent Liu, chief investment officer at trading firm Kronos Research, told Cointelegraph. “Japan’s bond sell-off and rising JGB yields are tightening global liquidity and pressuring risk on assets,” he added.

Related: Bitcoin holders see first 30-day stretch of realized losses since late 2023

Global macro pressures weigh on crypto markets

The ETF withdrawals coincided with broader weakness in crypto markets, as Bitcoin fell below $89,000 after surpassing $97,000 last week, and Ether traded under $3,000. Analysts attributed the downturn to ongoing macro pressures, including US-EU trade tensions over Greenland and panic selling of Japanese government bonds, which weighed on global liquidity and risk assets.

“Traders are watching for macro updates on trade tariffs, with attention turning to U.S. Initial Jobless Claims on Thursday, Jan. 22 (8:30 AM). A weaker print could reinforce growth concerns and risk-off sentiment,” Liu said.

Meanwhile, despite Bitcoin’s recent drop, larger holders continued to accumulate. Addresses holding between 10 and 10,000 BTC added roughly 36,300 coins over the past nine days, while wallets with less than 0.01 BTC reduced holdings, according to Santiment.

Related: Bitcoin institutional demand remains strong: CryptoQuant

Short-term whales drive Bitcoin’s market direction

Control over Bitcoin’s market direction has shifted toward short-term whale holders, marking a change in how price moves are formed, according to data shared by CryptoQuant analyst I. Moreno.

For the first time on record, so-called “new whales,” short-term holders controlling more than 1,000 BTC with coins held for less than 155 days, now account for a larger share of Bitcoin’s Realized Cap than long-term, cycle-tested whales. Realized Cap measures the value of coins based on their last on-chain movement, offering a clearer view of who controls Bitcoin’s marginal supply.

“Control has moved from experienced, cycle-tested holders to capital that entered late in the trend,” Moreno wrote, adding that this transition has direct consequences for market behavior.

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