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Bitcoin News Update: Investors Shift Funds to Alternative Coins While BTC and ETH ETFs Decline

Bitcoin News Update: Investors Shift Funds to Alternative Coins While BTC and ETH ETFs Decline

Bitget-RWA2025/11/19 08:52
By:Bitget-RWA

- Bitcoin and Ethereum ETFs face $2.9B outflows in November, while Solana and XRP ETFs attract $289.8M inflows, reflecting shifting investor priorities. - Canary Capital's XRPC ETF set a $59M first-day trading record, closing with $250M AUM, driven by demand for diversified crypto exposure. - Analysts cite Fed policy uncertainty, leveraged position liquidations, and weakening BTC-gold correlation as key drivers of Bitcoin ETF outflows. - Investors increasingly favor altcoins with tangible utility, such as

In recent weeks,

and Bitcoin ETFs have posted notable outflows, while (SOL) and have seen new capital inflows, signaling a shift in investor focus within the unpredictable cryptocurrency sector. These opposing movements point to a rising interest in alternative digital assets that offer practical use and growth prospects, even as established leaders contend with economic and regulatory challenges .

Bitcoin News Update: Investors Shift Funds to Alternative Coins While BTC and ETH ETFs Decline image 0
Canary Capital Group LLC's , which tracks XRP, among all ETFs launched in 2025, with $59 million traded on November 17. By the end of its first day, the fund managed around $250 million in assets, highlighting the appetite for easier access to crypto investments. Canary Capital CEO Steven McClurg credited this achievement to "unrelenting demand" for diversified crypto portfolios, also noting that the company's other spot ETFs—covering Solana (SOLC), (LTCC), and (HBR)—have also gained momentum.

At the same time,

and Ethereum ETFs have in November, the largest monthly outflow ever observed. The iShares Bitcoin Trust ETF, which is the biggest crypto ETF with $72 billion in assets, saw $1.2 billion withdrawn in just the first 17 days of the month. Experts attribute this selloff to several factors, such as unclear signals from the U.S. Federal Reserve about interest rate changes, forced sales from leveraged positions, and a decreasing link between bitcoin and gold. David Puell from ARK Invest observed that the number of large holders with over 1,000 bitcoin in November 2024 to roughly 1,300 by October 2025, indicating profit-taking and waning confidence in the sector.

Conversely, Solana and XRP have

in new investments, respectively, during the same timeframe. More investors are directing funds toward altcoins with clear practical applications, such as Solana's fast blockchain and XRP's cross-border payment features. These inflows suggest investors are strategically adjusting their portfolios to reduce risk in and ETH while seeking new growth opportunities.

This divergence in fund flows points to a broader change in market sentiment. While BTC and ETH still serve as core assets, their dominance is being tested by projects that deliver real-world utility and scalability. McClurg noted that Canary's emphasis on "settlement of real-world assets and staking incentives" is in line with long-term adoption trends

. As economic uncertainty continues, the crypto sector’s ability to adapt will likely determine the direction of ETF investments in the coming months.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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