US Spot BTC ETFs Bleed $60.4M as Altcoin Capital Flows Surge - Is the Rotation On?
Bitcoin's Wall Street darlings just took a hit. Fresh data shows US spot BTC ETFs hemorrhaging capital—$60.4 million walked out the door in a single day. Meanwhile, the altcoin complex is seeing inflows pick up steam.
The Great Rotation Narrative Gains Steam
It’s the classic crypto market ballet: money sloshes from one corner to another. The outflows from the flagship Bitcoin products suggest some investors are taking profits or reallocating—maybe chasing higher beta plays elsewhere in the digital asset ecosystem. After all, why settle for digital gold when you can hunt for the next ten-bagger?
Follow the Money (Or Where It's Going)
While the headline ETF number grabs attention, the real story might be in the subtler shifts. Capital doesn't just vanish; it redeploys. The increasing flows into altcoins signal a potential risk-on pivot within crypto, a bet that the next leg of the bull run will be led by the smaller, more volatile assets. It’s a move that screams confidence in the broader market's momentum, even if it gives Bitcoin maximalists a slight headache.
A Cynical Take from the Cheap Seats
Let's be real—this is the same crowd that would sell their grandmother's bonds for a shot at a memecoin moonshot. A little portfolio churn between 'safe' Bitcoin and speculative alts is just Tuesday for crypto traders. The only constant is the fee revenue, which flows regardless of which direction the money moves. In the end, the market's doing what it always does: cutting through noise, bypassing dogma, and following pure, unadulterated greed. The rotation is on. Buckle up.
Altcoin ETFs ‘Boom’ – XRP Leads With $935M Inflow Since Debut
Ripple XRP spot ETFs have attracted more than $900 million in cumulative institutional capital since their launch last month. The MOVE signals capital rotation amid Bitcoin’s turbulence and arbitrage unwind.
Particularly, XRP has the most significant altcoin ETF debut to date, with $38.04 million in a single day inflow from four funds on Monday.
Besides, spot solana ETFs posted $1.18M net inflows in a single day, solely from Fidelity’s FSOL fund. The altcoin witnessed a cumulative net inflow of $640.06 million, since its debut on October 28.
Per CoinMarketCap data, XRP showed a significant surge at the start of December, reaching a peak of $2.20. However, the altcoin has dropped 1.54% to $2.05 over the past 24 hours, signalling bearish momentum. XRP is trading at $2.06 at the time of writing.
Meanwhile, Solana has risen to nearly 5% in the past week, trading at $133.16 at press time.
ETF Trajectory for Next Year
Bitwise Asset Management executive Katherine Dowling told DL News that the crypto ETF sector will continue to boom.
“It is a good starter kit for many investors to gain exposure,” said Dowling, adding that altcoin funds such as Solana and XRP “have promising fundamentals,” pushing the prices to go further.
Additionally, Bitfinex analysts view this as a healthy, tactical rebalancing. They told Cryptonews, “the spot ETF channel remains intact.”
Speaking about Bitcoin’s long-term outlook, they said that the structural thesis remains firm.
“As more large allocators use ETF wrappers as entry points, Bitcoin’s path towards a regulated store-of-value role continues, meaning that future inflows can become deeper and more stable.”
