NEW YORK, Feb 9, 2026, 05:43 EST
Crypto ETPs — that’s exchange-traded products like ETFs tracking digital assets — posted their third consecutive week of outflows, though the bleed slowed to $187 million last week, according to CoinShares on Monday. James Butterfill, head of research at CoinShares, said the deceleration could signal “inflection points in investor sentiment.” Bitcoin products led the outflows with $264.4 million pulled, while ether ETPs actually attracted $5.3 million. XRP funds brought in $63 million; Solana saw $8.2 million in new money. On the price front, ether dropped 3.7% to $2,018, with bitcoin down 2.4% to $68,562. 1
Right now, a thinning liquidity pool is making those flow shifts a bigger deal—routine selling can suddenly drop into an air pocket. According to Kaiko research analyst Thomas Probst, Bitcoin’s average 1% market depth—a gauge of how much can be transacted near the current price before it jolts—has shrunk to about $5 million, down from over $8 million in 2025. “Reduced liquidity translates into sharper and more erratic price movements,” Probst said. Denny Galindo, a strategist at Morgan Stanley Wealth Management, flagged last autumn’s crash as the moment when “popped the leverage bubble.” 2
Ether’s institutional flows remain unsettled in the U.S. Spot ether ETFs—publicly traded funds backed by ether—saw $21.3 million leave the market on Feb. 6, according to Farside Investors. BlackRock’s iShares Ethereum Trust (ETHA) accounted for the bulk of that with $45.4 million in outflows. Over the five-day stretch from Feb. 2 to Feb. 6, net redemptions hit roughly $170 million, though some new capital did show up in funds like Bitwise’s ETHW and Grayscale’s Ethereum Mini Trust. 3
Ethereum tumbled over 30% in the last week, at one point dipping near $1,700 before climbing back past $2,000, according to TipRanks. The report pointed to big outflows from leading ether funds and forced futures liquidations—leveraged trades that accelerated the downturn—as factors fueling the sharp drop. 4
This downturn didn’t come out of nowhere. Ether has logged losses every month since September—last week, Bloomberg flagged a possible sixth consecutive month in the red. On Feb. 5, the token dropped to $1,746 during the session, marking its weakest point since April, according to the report. 5
Some traders keep searching for recognizable signals in the wreckage. Earlier this month, CoinDesk’s Asia Morning Briefing pointed out that the ether-bitcoin ratio had begun to look a lot like it did ahead of the previous big bull run. Their take: once liquidity settles down, price moves could get fast and volatile. 6
Still, there’s no clear escape yet. Outflows haven’t vanished—just lost some speed—and big volume often signals hedges piling up or short-term traders rushing to bail. A fresh shake in risk markets? With fragile order books and leverage hanging around, even a minor slip could spark another wave of forced selling.
Ether’s at a crossroads: ETF redemptions need to keep cooling off, and inflows into wider crypto products have to flip back to positive. Holding that $2,000 level would be a good sign. Still, in the coming sessions, flow data could end up carrying more weight than the price chart itself.
