U.S. Listed Bitcoin, Ether ETFs Bleed Nearly One Billion Dollars in a Day.

U.S.-listed spot Bitcoin and Ether exchange-traded funds faced one of their worst combined outflow days of twenty twenty-six as falling prices, rising volatility, and macro uncertainty prompted investors to reduce their exposure.

U.S.-listed spot Bitcoin ETFs saw nearly eight hundred seventeen million nine hundred thousand dollars withdrawn on January twenty-ninth, marking the largest daily outflow since November twentieth. Ether ETFs also faced significant selling, losing one hundred fifty-five million six hundred thousand dollars on the same day.

These outflows coincided with a sharp drop in crypto prices. Bitcoin fell below eighty-five thousand dollars and later slid toward eighty-one thousand dollars during U.S. trading hours before nearing the eighty-three thousand dollar mark in Asian morning hours on Friday. Ether dropped more than seven percent on the day.

BlackRock’s IBIT bore the brunt of Bitcoin ETF redemptions, shedding three hundred seventeen million eight hundred thousand dollars. Fidelity’s FBTC lost one hundred sixty-eight million dollars, while Grayscale’s GBTC saw one hundred nineteen million four hundred thousand dollars exit. Smaller products like Bitwise, Ark twenty-one Shares, and VanEck also experienced significant outflows.

Ether ETFs mirrored this trend. BlackRock’s ETHA lost fifty-four million nine hundred thousand dollars, Fidelity’s FETH saw fifty-nine million two hundred thousand dollars exit, and Grayscale’s Ether products continued to bleed assets. Total Ether ETF assets have fallen to sixteen point seventy-five billion dollars, down from over eighteen billion dollars earlier this month.

The synchronized selling across Bitcoin and Ether ETFs indicates institutional investors were not merely rotating between assets but were reducing overall crypto exposure. This marks a departure from earlier in January when inflows into Ether funds often offset weaknesses in Bitcoin products.

The selloff emerged amid rising volatility in risk assets and renewed uncertainty regarding U.S. economic policy, as analysts viewed potential Fed chair Kevin Warsh as bearish for Bitcoin.

The increase in implied volatility, weakness in equities, and speculation about future Federal Reserve leadership dampened sentiment.

At the same time, aggressive unwinding of leveraged positions in crypto markets added additional pressure to spot prices.

For now, ETF flows appear to be responding to price action rather than leading it. As long as Bitcoin and Ether remain under pressure, analysts expect ETF demand to stay fragile, with investors waiting for volatility to cool before re-entering the market.