Summary
- In a record-setting 10-day period, U.S. spot Bitcoin ETFs experienced outflows totaling $2.96 billion.
- Assets under management for these ETFs dropped from $104 billion to $94 billion, a trend CoinShares likened to early 2026 selloffs.
- Inflows into altcoin ETFs dwindled to just five assets, although funds like Hyperliquid, XRP, and Near still managed to attract investments amid the overall downturn.
U.S. spot Bitcoin exchange-traded funds have now recorded a streak of 10 consecutive days of net outflows, marking their longest withdrawal period ever and pushing year-to-date flows into negative figures for the first time in 2026.
Beginning on May 15, this outflow has siphoned nearly $3 billion from these products, as per data from SoSoValue.
This marks the third week in a row of outflows across all digital asset investment products, a trend that CoinShares noted is reminiscent of a January-to-February episode that saw five weeks of withdrawals, according to their recent report.
Assets under management for spot Bitcoin ETFs have decreased to about $94 billion from over $104 billion at the beginning of this withdrawal period.
This selloff appears to extend beyond simple profit-taking, with analysts from Galaxy Research earlier characterizing the outflow trend as "real directional recalibration" rather than mere hedge adjustments, as reported by Decrypt.
This evaluation has gained traction as the outflow streak has progressed, with total net inflows since inception declining from $57 billion at the year's start to $55.66 billion, resulting in a negative position for 2026.
Multiple Challenges Facing Crypto Markets
Currently, the cryptocurrency markets are facing several challenges: geopolitical issues linked to the Iran conflict, a Federal Reserve that is expected to maintain steady interest rates through June, and a stock market that is outperforming significantly.
The S&P 500 has consistently reached new all-time highs starting May 26. On Monday, the index achieved a record level of 7,620, driven by a select group of AI and semiconductor stocks; Micron’s more than 200% increase following a presidential endorsement in late May is a notable instance, as previously mentioned by Decrypt.
Bitcoin continues to decline following a failed breakout attempt around $82,000. It is currently down 1.6% and trading approximately at $72,600, based on data from CoinGecko. The leading cryptocurrency has also seen a decrease of about 6% over the past week and 7% over the past month, reflecting a bearish sentiment in the crypto market. Users on the prediction market Myriad, owned by Decrypt’s parent company Dastan, indicate this negative outlook by assigning a 39% probability to Bitcoin dropping to $55,000, an increase from under 10% on May 7.
While investments are exiting Bitcoin ETFs, CoinShares noted that altcoin participation in weekly flows is now focused on only five assets, down from eleven three weeks prior. Nevertheless, the assets that are still drawing capital tell a different story: XRP led with $20.3 million, followed by Hyperliquid with $10.8 million and Near with $7.6 million.
Hyperliquid ETFs have notably seen inflows for 11 consecutive days, a trend that corresponds with the underlying token's sustained upward trajectory. HYPE has surged 15% in the past week and 74% in the past month.
A similar surge was observed with Near Protocol’s NEAR token, which has increased by 80% over the past month due to updates related to privacy and AI.