Solana and select altcoins appear to have completely ignored the carnage.
Digital asset funds experienced another difficult week as investors withdrew $1.17 billion. This was the second week in a row of steep outflows. Confidence remains fragile after the October 10th liquidity shock, and macro uncertainty over the Fed’s December policy decision continues to weigh on positioning. CoinShares found that ETP trading volumes, however, stayed strong at roughly $43 billion.
On Thursday, flows briefly improved as headlines suggested movement toward averting the US government shutdown. But that brief window of optimism vanished quickly. By Friday, negative sentiment returned, and capital exited again as concerns re-emerged and markets priced in continued policy and fiscal uncertainty. Interestingly, altcoins have managed to largely defy the trend.
Altcoins Flip the Script
According to the latest edition of ‘Digital Asset Fund Flows Weekly Report,’ institutional capital moved sharply away from Bitcoin last week, as BTC-linked products recorded $932 million in net outflows. Short Bitcoin ETPs, however, drew renewed interest, pulling in $11.8 million and marking their highest weekly inflow since May 2025. Ethereum also suffered as it saw $438 million in outflows.
But interest in several altcoins remained positive. Solana again led with a significant $118 million in inflows and contributed to a massive $2.1 billion accumulated across the last nine weeks. Next up was XRP, which secured $28.2 million in fresh inflows, followed closely by Hedera with $26.8 million. Hyperliquid saw $4.2 million, and Litecoin managed $1.9 million. Multi-asset funds attracted more than $12 million. On the other hand, Sui and Cardano shed $3.8 million and $0.1 million.
Data continues to show a sharp regional imbalance. The US remains the most heavily impacted, bleeding $1.22 billion in outflows. Hong Kong was next with $24.5 million out, and Sweden lost $18 million during the same period. Meanwhile, Canada and Australia also reported smaller outflows of $7.6 million and $1.1 million.
Investor appetite grew in parts of Europe and Latin America. Germany posted $41.3 million in inflows and Switzerland captured $49.7 million, while Brazil registered fresh inflows of $12 million for the week.
Relief Rally Faces Hard Ceiling
The Senate’s progress on a funding deal boosted risk sentiment and lifted Bitcoin back above $106,000 after several failed breaks below $100,000. QCP Capital noted that this rebound is occurring despite ongoing spot ETF outflows and continued selling from long-term holders. Options flows remain split as buyers position for upside into December 2025, while others sell calls at higher strikes.
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The firm said that OG wallet distributions resemble past events like Silk Road and Mt. Gox, and history shows markets can absorb such supply. QCP expects Bitcoin to stay range-bound for now, and says any move above $118,000 is likely to trigger more OG selling.
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