Bitcoin ETFs Lose $681 Million in First Week of 2026

Bitcoin ETFs Experience Significant Losses

Bitcoin ETFs began the year 2026 with considerable losses, wiping out a total of $681 million in the initial days of trading. According to data from SoSoValue, the funds recorded four consecutive days of net outflows from Tuesday to Friday, surpassing the inflows observed at the start of the week. The largest daily withdrawal occurred on Wednesday, when the products lost $486 million, followed by $398.9 million on Thursday and $249.9 million on Friday.

This reversal in trend followed a positive start to the year, with Bitcoin ETFs attracting $471.1 million on January 2nd and an additional $697.2 million on January 5th. Similarly, Ether-based ETFs followed a comparable trajectory, experiencing net outflows of approximately $68.6 million, ending the week with total assets around $18.7 billion.

Vincent Liu, the chief investment officer of trading firm Kronos Research, emphasized that macroeconomic uncertainty is the main factor driving capital withdrawal. He noted that shifting expectations around monetary policy and heightened geopolitical risks are impacting investor positioning. “Given that interest rate cuts in the first quarter seem increasingly unlikely, the macroeconomic conditions have transformed into a low-risk sentiment,” Liu stated.

Despite the volatile market conditions, Morgan Stanley has filed for the launch of two ETFs, one tracking Bitcoin and the other Solana. This move came a day after Bank of America began allowing advisors to recommend exposure to four Bitcoin ETFs.