Crypto Funds See $1.17B in Outflows, but Solana and XRP Defy the Trend

Global digital asset investment products saw another sharp week of outflows, with investors withdrawing approximately $1.17 billion amid persistent uncertainty following October’s liquidity shock. Confidence across institutional markets remains fragile, as macroeconomic concerns and speculation about the Federal Reserve’s December policy move continue to dampen sentiment. Despite the capital flight, exchange-traded product (ETP) volumes remained steady at around $43 billion, signaling that trading activity is still robust even as funds exit.

For a brief period last Thursday, optimism returned when headlines hinted at progress toward avoiding a U.S. government shutdown. However, that relief was short-lived, and outflows accelerated again by Friday as investors priced in continued policy risks. Bitcoin-linked products were hit the hardest, recording $932 million in net outflows, while short-Bitcoin ETPs gained $11.8 million in new capital—marking their largest inflow since May 2025. Ethereum products followed with $438 million in redemptions, extending the bearish streak across major assets.

Amid the broader downturn, several altcoins managed to buck the trend. Solana led all inflows with $118 million, adding to a nine-week streak that has brought in over $2.1 billion in total. XRP attracted $28.2 million, while Hedera and Hyperliquid saw $26.8 million and $4.2 million respectively. Litecoin also gained modest inflows, and multi-asset funds added $12 million, showing selective institutional confidence.

Regionally, the U.S. remained the most affected, with $1.22 billion in withdrawals, followed by Hong Kong and Sweden. Meanwhile, Germany and Switzerland stood out with strong inflows of $41.3 million and $49.7 million, respectively, and Brazil added $12 million—indicating that parts of Europe and Latin America are becoming relative bright spots for investor appetite.

Bitcoin briefly rebounded above $106,000 as the U.S. Senate advanced discussions on a funding deal, lifting risk sentiment. Still, analysts caution that resistance around $118,000 could trigger renewed selling pressure. Despite short-term volatility, options flows suggest that some traders are positioning for upside heading into December, while others are using higher strikes to hedge against further turbulence.