Digital asset investment products experienced their heaviest weekly outflows since March, totaling $1.43 billion, according to data from CoinShares.

The exodus comes amid renewed uncertainty surrounding the Federal Reserve’s monetary policy, with trading volumes in exchange-traded products (ETPs) spiking to $38 billion last week — roughly 50% higher than the 2025 average.

Fears over FED action prompt largest outflows since March of US$1.43B@Bitcoin recorded US$1B in outflows, while @ethereum showed resilience with only US$440M of outflows. A wide selection of altcoins saw inflows, most notable being XRP (@Ripple) with US$25M, @solana at… pic.twitter.com/7kwWN47vPv

— CoinShares (@CoinSharesCo) August 25, 2025

Early in the week, investors pulled nearly $2 billion from crypto funds as concerns mounted that the Fed would maintain its hawkish stance on interest rates.

However, sentiment shifted following Fed Chair Jerome Powell’s remarks at the Jackson Hole Symposium, which were perceived as more dovish than expected. This reversal sparked inflows of $594 million later in the week, partially offsetting the earlier losses.

Bitcoin Bears the Brunt

Bitcoin products bore the majority of the pain, recording $1 billion in outflows for the week. The world’s largest cryptocurrency continues to face headwinds, with investors cautious about near-term price performance amid macroeconomic volatility.

Month-to-date figures highlight this divergence: Bitcoin has posted net outflows of $1 billion, reflecting waning confidence, while Ethereum has managed to sustain inflows despite the broader risk-off sentiment.

Year-to-date inflows for Bitcoin stand at just 11% of total assets under management (AUM), lagging behind Ethereum.

Ethereum Shows Relative Resilience

Ethereum weathered the storm more effectively, with outflows limited to $440 million. Mid-week buying momentum helped offset initial pessimism, driving month-to-date inflows of $2.5 billion, compared to Bitcoin’s losses.

Ethereum’s rebound was further underlined by its performance relative to AUM. CoinShares reported that inflows represent 26% of total Ethereum AUM, showing stronger institutional conviction in the asset’s long-term potential. The relative resilience suggests that investors may view Ethereum as better positioned to benefit from dovish monetary signals and its evolving role in decentralized finance and staking markets.

Altcoins Deliver Mixed Results

Flows into alternative digital assets were varied, reflecting polarized investor appetite. XRP recorded the strongest gains, attracting $25 million, followed by Solana at $12 million and Cronos with $4.4 million. These inflows indicate selective confidence in high-cap projects with active ecosystems and institutional traction.

On the other hand, emerging tokens struggled. Sui suffered the steepest losses with $12.9 million in outflows, while Ton products shed $1.5 million. The contrasting performance illustrates a market increasingly focused on established projects over speculative plays during times of macro uncertainty.

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