Crypto Potato
January 6, 2026 5:03 PM UTC

Bitcoin Investment Products Suffer $1.44B in Outflows During Worst Week of 2026

Bitcoin investment products recorded $1.44 billion in net outflows last week, according to CoinShares. It was the largest weekly withdrawal from Bitcoin funds so far in 2026, surpassing both the previous week’s record and the peak level of outflows seen in January. The heavy selling significantly reduced Bitcoin’s year-to-date inflows, which fell to $1.2 billion from $2.6 billion a week earlier and $3.9 billion two weeks ago. Crypto Investment Exodus Deepens More broadly, digital asset investment products saw $1.67 billion in outflows during the week, extending the current streak of withdrawals to three consecutive weeks and pushing cumulative outflows over that period to $4.21 billion. In the latest edition of ‘Digital Asset Fund Flows Weekly Report,’ CoinShares said risk-off sentiment tied to developments involving Iran appears to have overshadowed any support from progress on the CLARITY Act. Assets under management declined to $141 billion from $148 billion the previous week, their lowest level since early April, reflecting a pattern similar to the five-week run of outflows seen between January and February. Ethereum investment products also saw $257 million exit the market, while participation in the broader altcoin market weakened. Only five assets attracted inflows above $1 million, compared to nine the previous week. XRP led the group with $20.3 million in net additions, followed by Hyperliquid with $10.8 million and Near with $7.6 million. On the other hand, multi-asset products experienced withdrawals of $2.3 million, while Sui and Solana registered investor exits totaling $1.4 million and $0.8 million, respectively. On a regional basis, the United States accounted for the vast majority of last week’s withdrawals, with investors pulling $1.63 billion from digital asset investment products. Germany also posted $25.7 million in net withdrawals, largely avoiding the selling seen in previous weeks. Sweden and Hong Kong followed with investor pullbacks totaling $6.6 million and $4.5 million, respectively. Meanwhile, the Netherlands, Switzerland, and Canada welcomed smaller inflows of $1.3 million, $0.5 million, and $0.4 million, respectively. Pressure Beyond Risk Appetite The latest fund flow data comes as Bitcoin continues to face bearish pressure. As investor sentiment remained fragile, some analysts expect the crypto asset to face further losses. Bitunix analysts believe that “Bitcoin is no longer facing merely a question of risk appetite.” Instead, it is “increasingly being tested by the broader impact of rising global funding costs and tightening liquidity conditions.” If US nonfarm payrolls come in stronger than expected and Treasury yields climb toward 5%, investors may need to rethink valuations across risk assets. However, weaker labor market data could ease fears of further tightening. “At this stage, the key driver of market sentiment is no longer whether the Federal Reserve will raise rates again, but whether the bond market has already delivered the economic effects of another rate hike before policymakers act.” The post Bitcoin Investment Products Suffer $1.44B in Outflows During Worst Week of 2026 appeared first on CryptoPotato .