Germany has voiced concerns over new customs tariffs, while the UK is actively consulting with the United States about the issue. As tariff regulations are rolled back, the United States under Trump is using special provisions to impose new trade taxes on its partners. The global policy landscape increasingly recalls 2025, but how is institutional interest faring in this shifting climate?
Institutional Crypto Outflows Continue
Redemptions from crypto exchange-traded funds (ETFs) have continued for several weeks, with outflows from these vehicles playing a significant role in Bitcoin’s ongoing struggle to hold the $60,000 mark. As individual investors turn cautious, ETF-related selling pressures have intensified. The latest figures show digital asset investment products saw another $288 million in outflows, marking the fifth straight week in negative territory.
Cumulative outflows from crypto investment products have now surpassed $4 billion over the last five weeks. During the same period last year, the outflows reached $6 billion; however, that comparison may not fully capture the current dynamics. Bitcoin’s slide, which has persisted for nearly four months, has fueled sustained ETF redemptions. After a flurry of record-high ETP trading activity earlier this year, trading volumes have now dropped sharply to $17 billion—a stark sign of cooling institutional enthusiasm.
Trading activity is currently at its lowest point since July 2025, reflecting a sharp drop in institutional engagement and amplifying Bitcoin’s vulnerability at spot prices. Retail investors, unsettled by market uncertainty and influenced by the well-known four-year cycle narrative, have been steadily selling for months. On the professional side, institutions are steering clear of sophisticated crypto products. Combined, these forces have normalized Bitcoin’s recent declines below the $60,000 threshold.
American investors are at the heart of the latest selling wave, leading global outflows with $347 million leaving crypto products. In contrast, there are some surprising signs of institutional interest in Europe. Switzerland, Canada, and Germany are now recording inflows, posting net investments of $19.5 million, $16.8 million, and $16.2 million respectively.
However, optimism in Europe is dampened by renewed demand for short Bitcoin products, indicating that some players are betting against the market rather than supporting fresh upside.
Altcoin Performance Diverges
Looking beyond Bitcoin, Ethereum posted the second largest outflow among crypto products last week, with redemptions totaling $36.5 million. Multi-asset products and Tron followed, seeing $32.5 million and $18.9 million in outflows, respectively. Meanwhile, there are a few bright spots: products based on XRP, Solana, and Chainlink attracted modest inflows of $3.5 million, $3.3 million, and $1.2 million, respectively.
Despite lingering weakness in overall crypto sentiment, the continued inflows into SOL, LINK, and XRP products indicate that long-term conviction remains intact for some of the major altcoins. Even as the sector faces headwinds, this resilience suggests optimism endures beneath the surface for select digital assets.
