This week, the cryptocurrency market experienced a significant downturn as major funds withdrew capital, marking an unusual trend that caught the attention of investors.
Recent reports indicated that Bitcoin ETFs saw approximately $866 million in outflows on one particular day, a staggering turn of events following the end of a prolonged US government shutdown.
This rapid exit of funds surprised many traders who anticipated a rebound as political stability returned.
Major Withdrawals Affect Bitcoin ETFs
Newly released data revealed that this influx of withdrawals marked the continuation of a downtrend for US-listed Bitcoin ETFs.
A report from CryptoMetrics highlighted almost $897 million leaving these financial instruments on the same day, indicating a broader retreat from institutional investors.
The downturn took market analysts by surprise as ETF investments had previously fueled Bitcoin’s impressive surge earlier this year.
Those who have held Bitcoin for 6 to 12 months are seeing their cost basis hovering around $94,000.
I believe we should remain cautious, as clarity on the bear market will only come if we drop below this threshold. My advice is to refrain from hasty decisions. pic.twitter.com/i9a5M0xnMW
— Crypto Analyst (@crypto_analyst) November 14, 2025
Crypto market expert Ki Young Ju flagged that the upward trend could be compromised if Bitcoin prices dip below the $94,000 level, identified as a critical point for many recent buyers.
Emerging Altcoin ETFs Defy the Trend
While Bitcoin faced challenges, one alternative cryptocurrency product surged in demand. The newly launched Canary Capital XRP (XRPC) ETF reported an impressive $58 million in trading volume on its first day, as noted by Bloomberg ETF analyst Eric Balchunas.
This volume narrowly surpassed the $57 million achieved by a Solana ETF earlier this year but stood out as the best launch among nearly 900 ETFs introduced in 2025.
In contrast, Ether ETFs observed $259 million in outflows, whereas Solana ETFs managed to maintain a positive streak, accumulating an additional $1.5 million over 13 consecutive days.
Market Sentiment Remains Tepid
On Friday, Bitcoin slipped below the $100,000 mark, trading around $96,900. A new low of $96,650 was reached amidst dwindling expectations of a December rate cut by the Federal Reserve.
The market currently reflects about a 45% probability of a 25 basis point cut at the upcoming meeting, a notable decrease from the 63% likelihood just a week prior.
The recent government shutdown has created uncertainties in official inflation and employment data, leading the Fed to face challenges in interpreting market signals and dampening trader appetites for risk.
Looking Forward: What’s Next for Cryptocurrency?
Institutional interest appears to be waning, evidenced by ongoing withdrawals and diminished treasury purchases. Analysts suggest the market has been experiencing a subdued bearish phase for some time now.
Hunter Horsley from Bitwise mentioned that the downturn might be nearer to its end than many believe, although broader market dynamics continue to show little support for recovery.
Conversely, some experts warn that persistent ETF withdrawals could prolong Bitcoin’s downward spiral, with the current trend edging closer to a third week of losses.
Featured image from Unsplash, chart from TradingView
