Crypto ETF News Weekly: Big Players Making Bold Moves While Bitcoin and Ethereum See Mixed Flows

The crypto ETF space is heating up, and this week’s data tells quite a story. Let’s break down what’s really moving the needle in digital asset ETFs.

The Outflow Picture: Bitcoin and Ethereum Pressure

Here’s the reality check: US Bitcoin ETFs experienced consecutive net outflows last week, totaling $87.7 million. Total assets in Bitcoin ETF products now sit at $117.11 billion. The pressure came mainly from three heavyweights—ARKB, IBIT, and GBTC dropped $77.8 million, $49.1 million, and $29.7 million respectively. Five Bitcoin ETFs were underwater simultaneously.

Ethereum didn’t escape the pressure either. US Ethereum spot ETF products saw $65.4 million flow out across four consecutive trading days, bringing total holdings to $18.94 billion. BlackRock’s ETHA led the exodus with a $55.8 million departure. But here’s the thing—despite the noise, Ethereum still maintains solid institutional backing.

The bright spot? Hong Kong Bitcoin ETFs captured 72.56 BTC inflow last week, representing genuine appetite in Asia. That $350 million in net assets shows institutional money still sees value at current levels. Over in Hong Kong Ethereum products, assets held steady at $102 million.

Where Institutional Capital Is Actually Moving

While US ETF cash is playing defense, Wall Street is quietly accumulating. Goldman Sachs just dropped $2 billion on Innovator Capital Management—yes, you read that right—specifically to scoop up their Bitcoin-linked ETF products. That’s not casual interest; that’s strategic positioning.

Vanguard Group, the world’s second-largest asset manager, just greenlit trading of Bitcoin, Ethereum, XRP, and Solana ETFs on its platform. When Vanguard moves, institutional capital follows. Their $171.7 trillion asset base now has direct crypto ETF access.

Franklin Templeton is making serious plays too. Their Solana ETF launched with 17,000 SOL ($2.4 million) in initial holdings through Coinbase Custody, trading at 0.19% fees. The kicker? They’re staking SOL holdings to generate yield—institutionalizing rewards. They also expanded the Franklin Crypto Index ETF to include ADA, LINK, DOGE, SOL, XLM, and XRP alongside existing BTC and ETH positions.

Innovation and Regulation: The Tug of War

The launch of the first 2x leveraged Solana ETF (TXXS) by 21Shares shows institutional appetite for structured crypto exposure. But watch this—the US SEC simultaneously issued warning letters to nine ETF issuers, including Direxion and ProShares, demanding they address risks for 3-5x leveraged products. Translation: the SEC is drawing a line at 2x leverage, effectively halting super-leveraged crypto ETFs.

Grayscale dropped an S-1 filing for a Sui Trust ETF, and their Chainlink Trust ETF (GLNK) already launched on NYSE Arca. Custody partnerships keep expanding—Gemini now provides security for VanEck’s Solana ETF, leveraging their SOC 2 Type 2 certifications.

Options Market Signals: Bullish Undertone

Bitcoin ETF options tell an interesting story despite lower recent activity. As of early December, notional trading volume hit $1.75 billion with a 1.07 long-short ratio. Open interest reached $32.65 billion with a 1.83 ratio—suggesting professionals remain net long despite retail selling pressure. Implied volatility at 48.89% reflects elevated uncertainty, but the position structure screams conviction.

What’s Actually Happening Here

Here’s the macro picture: Yes, weekly outflows exist, but they’re modest relative to total AUM. Meanwhile, institutional players are reshaping the crypto ETF landscape through acquisitions, platform expansions, and product innovation. VanEck extended zero fees through mid-2026. The custody infrastructure is hardening. Asset management giants are no longer dabbling—they’re deploying serious capital.

The regulatory squeeze on leverage actually strengthens the core Bitcoin and Ethereum ETF narrative by eliminating speculative noise. Grayscale’s Sui filing suggests the approved-asset cycle is expanding beyond BTC-ETH-SOL into emerging L1 ecosystems.

Bottom line: Weekly flows are noise. Institutional infrastructure, custody standards, and multi-asset fund inclusions? That’s the signal. The crypto ETF ecosystem just shifted from experimental to institutional-grade.