Crypto Funds See Five-Week Exodus Streak as Bitcoin Leads Decline

▲ Bitcoin (BTC) Decline / AI-Generated Image

Funds have flowed out of the digital asset fund market for five consecutive weeks. Large-scale outflows centered on Bitcoin (BTC) are dampening overall market sentiment.

According to crypto-focused media outlet CryptoPotato on February 24 (local time), $288 million was withdrawn from digital asset funds over the past week, marking the fifth straight week of net outflows. Cumulative outflows over the past five weeks have now reached $4 billion, approaching last year’s total outflow of $6 billion. As signs of withdrawals by global institutional and retail investors become clearer, exchange-traded product (ETP) trading volume has shrunk to $17 billion, its lowest level since July 2025.

A weekly report by digital asset manager CoinShares shows that Bitcoin (BTC) is leading the market downturn. Bitcoin funds alone saw $215 million in outflows, while “short Bitcoin” funds, which bet on declining prices, attracted $5.5 million—the highest inflow among single-asset products. Ethereum (ETH) also experienced $36.5 million in outflows, with multi-asset products and TRON (TRX) seeing continued selling pressure totaling $32.5 million and $18.9 million, respectively.

Meanwhile, some altcoins such as XRP, Solana (SOL), and Chainlink (LINK) recorded modest inflows ranging between $1.2 million and $3.5 million, but this was insufficient to offset overall market selling pressure. Regionally, the United States accounted for a significant $347 million in outflows, whereas investors in Switzerland, Canada, and Germany took advantage of the recent price dip as a buying opportunity, posting net inflows of $19.5 million, $16.8 million, and $16.2 million, respectively.

During Asian trading hours on the 24th, Bitcoin fell below the $65,000 level, triggering approximately $230 million in long-position liquidations. This appears to reflect overlapping geopolitical risks, including U.S. President Donald Trump’s announcement of a 15% global tariff increase and escalating tensions between the United States and Iran. Digital asset investment firm QCP Capital noted that Bitcoin has posted five consecutive monthly declines on a monthly candle basis, emphasizing that reclaiming the $74,000 level is crucial for the market to establish a sustainable recovery.

The digital asset market is currently closely monitoring potential catalysts for a price rebound, including progress on the U.S. crypto market structure bill (CLARITY) and the outcomes of geopolitical negotiations. As investor fatigue deepens, short-term fund outflows are likely to continue unless macroeconomic uncertainties are resolved. Market participants are watching closely to see whether Bitcoin can weather the current storm and restore confidence.

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