Bitcoin, Ether ETFs Experience Outflows as Christmas Derisking Hits
TLDR
U.S. spot bitcoin ETFs saw $188.6M in outflows on Tuesday, marking four consecutive days of negative flows.
Spot ether ETFs experienced $95.5M in outflows on Tuesday, reversing the previous day’s inflows of $84.6M.
Bitcoin ETFs recorded $497.1M in weekly outflows, reversing the $286.6M in inflows seen earlier in December.
Market analysts attribute ETF outflows to year-end derisking, profit-taking, and thin holiday liquidity.
Spot bitcoin and ether exchange-traded funds (ETFs) saw significant outflows as year-end positioning and seasonal market dynamics led investors to reduce their risk exposure before the Christmas holiday. U.S. spot bitcoin ETFs reported $188.6 million in net outflows on Tuesday, marking the fourth consecutive day of negative flows. Similarly, spot ether ETFs saw $95.5 million in outflows, reflecting broader trends in investor behavior during the holiday season.
Bitcoin ETFs See Four Consecutive Days of Outflows
Spot bitcoin ETFs, including BlackRock’s IBIT and Fidelity’s FBTC, faced substantial withdrawals on Tuesday. According to SoSoValue data, the total net outflows for spot bitcoin ETFs amounted to $188.6 million, extending the streak of negative flows to four days. This followed a weekly total of $497.1 million in outflows, reversing previous inflows of $286.6 million seen in the week ending December 12.
BlackRock’s IBIT was the hardest hit, with $157.3 million exiting the fund. Other bitcoin ETFs such as Grayscale’s GBTC and Bitwise’s BITB also reported outflows, though on a smaller scale. These figures align with typical end-of-year portfolio rebalancing activity, with many investors taking profits or adjusting their exposure in anticipation of the holiday season and the year-end.
Year-End Derisking and Thin Liquidity Drive Outflows
Market analysts have pointed to several factors contributing to the outflows from both bitcoin and ether ETFs, with year-end derisking being a primary driver. Vincent Liu, CIO of Kronos Research, explained that the outflows reflect typical year-end mechanics rather than a fundamental shift in market sentiment. He noted that thinner holiday liquidity and portfolio rebalancing lead to reduced activity during this period.
Nick Ruck, director of LVRG Research, echoed similar views, attributing the outflows to seasonal profit-taking, tax-loss harvesting, and the general lack of liquidity during the holiday season. These factors are likely contributing to the reduced investor activity in the crypto ETF space, as market participants adjust their positions before the year ends.
While the overall outflows from bitcoin and ether ETFs are notable, research associate Rick Maeda of Presto Research cautioned against over-interpreting the data. He highlighted that ETF flows have been volatile in recent months and that such movements are typical during the year-end period, especially after a volatile quarter.
Ether ETFs Face Similar Outflows
Spot ether ETFs experienced outflows as well, with $95.5 million withdrawn on Tuesday, according to data from SoSoValue. This marked a shift from the previous day’s inflows, which totaled $84.6 million. Grayscale’s ETHE fund saw the largest outflow among ether ETFs, with $50.9 million leaving the fund.
BREAKING: Ethereum spot ETFs recorded a net outflow of $95.5M on December 23.
BlackRock clients sold $25M worth of $ETH. pic.twitter.com/M5tdHlFJsW
— DustyBC Crypto (@TheDustyBC) December 24, 2025
The drop in ether ETF holdings reflects the same seasonal trend observed in bitcoin ETFs. Analysts suggest these movements are largely due to portfolio rebalancing and profit-taking, rather than any shift in investor confidence regarding ether’s long-term prospects.
Broader Market Movements Amid ETF Outflows
Despite the outflows from bitcoin and ether ETFs, broader market performance showed positive signs. The S&P 500 index reached a record high on Tuesday, closing at 6,909.79, bolstered by strong economic data. The U.S. economy grew at an annualized rate of 4.3% in the third quarter, surpassing expectations.
Cryptocurrency markets, on the other hand, saw slight declines. Bitcoin traded down 0.7% to $86,931, and ether slipped 1.18% to $2,931. While these declines coincide with ETF outflows, they may also reflect broader market sentiment, which has been cautious ahead of the holiday season.
JUST IN: S&P 500 closes above 6,909 for the first time in history. pic.twitter.com/UuJXItaim2
— Watcher.Guru (@WatcherGuru) December 23, 2025
Market experts are now looking to the post-holiday period for clearer signals. Vincent Liu of Kronos Research noted that liquidity could return in early 2026, and initial jobless claims data on December 27 may provide important insights into the broader economic outlook and its effect on markets, including cryptocurrencies.
The post Bitcoin, Ether ETFs Experience Outflows as Christmas Derisking Hits appeared first on CoinCentral.
Filed under: News - @ December 24, 2025 3:25 pm